In the new office building in Netflix, San Jose.

Netflix CEO Mark Randolph is looking at a plan, which is a plan that concerns Netflix's future development. In addition to the current Internet film and television rental business, there are also two development plans for online video and Internet social networking.

This did not surprise him, because since the second half of last year, he had frequently heard him mention this content during his communication with Ronan, and he had already been mentally prepared.

The knock sounded, and Ronan and Robert Iger walked in together.

Mark Randolph quickly greeted the two: "Yang, Ronan.Yang, Bob."

Ronan and Robert Iger responded politely, then sat on the sofa and started a conversation at work.

"Netflight developed very well last year." Ronan said directly: "I hope Netflix can continue to maintain this development momentum this year and be ready to develop new businesses."

This aspect was planned before acquiring Netflix. Since Christmas, he has exchanged views with Robert Iger, and then designated this preliminary development plan and brought it to Netflix for discussion.

Robert Iger said: "Netflix's business is relatively single. Once the DVD industry fluctuates, Netflix will inevitably face huge risks."

Mark Randolph naturally wants to expand Netflix's business, but as the company's CEO, he must remain rational and said: "Netflix has just gotten on the right track and isn't it a bit radical to expand its business rashly?"

Ronan smiled and said, "Mark, I know what you are worried about. This is just a plan, and it is a preliminary plan. Next, market research, project inspection, internal discussion and detailed plans must be conducted. The real implementation and creation time is next year."

There was one year as the preparation period and the buffer period, and Mark Randolph had the confidence.

"I will discuss it within the company." He no longer hesitated: "Then set up a project team to promote the preliminary preparations."

Ronan nodded and said, "Robert and I have conducted special discussions based on market research data and the development of the Internet. Internet video and download businesses are developing rapidly, just like DVDs hitting the traditional video tape industry, it will have a huge impact on the DVD industry for at most ten years, and even a DVD recession."

Robert Eiger added: "You know better than us how fast the Internet is developing. Ronan has made an idea that if there is a website that can directly provide high-definition online on-demand business, can Netflix's leasing business continue to be carried out?"

Although Internet video on demand has not really become popular due to hardware and bandwidth, Mark Randolph has seen the lightning-like development speed of this industry. Not to mention ten years, there may be earth-shaking changes in five years.

If you can sit in front of the computer and click on the video and see a high-definition movie, who would be willing to wait for a day to wait until you receive the DVD before watching it?

Mark Randolph felt a tangible threat, a danger that could completely destroy Netflix's business.

"This is a very necessary plan," Mark Randolph said incredibly serious: "We can't wait like Pepsika, and it's too late to wait until a new industry has flourished and transformed."

Ronan pointed to the plan and said: "At present, there is no company specializing in online video business on the Internet. We will take the lead first and may lead step by step in the future."

Robert Eiger continued: "The path the Trail Blazers take is very dangerous, and once they succeed, they can have a huge advantage."

Mark Randolph no longer has questions about the Internet video business and instead asked: "Internet social..."

Ronan simply said: "You must be familiar with this aspect. Chat rooms, forums and blogs are all the more mature online social carriers. Especially blogs, their emergence has almost changed the Internet. Our goal is to be a network social carrier that is more refined, faster and more capable of sharing and dissemination than blogs."

Mark Randolph listened very seriously. Through contacts last year, he knew that Ronan was definitely an outsider in the Internet industry at the technical level, but his vision and ability to judge market changes were more than just excellent?

Ronan said that the DVD industry, especially the DVD industry in 2002, will have great development, and this is indeed the case.

In 2002, the sales volume of DVDs in Hollywood film and television industry alone increased by more than 50% compared with the previous year.

Correspondingly, the sales volume of DVD players in 2002 increased by 500 US dollars compared with 2001, and the price dropped from nearly 500 US dollars per unit to less than 200 US dollars!

This also allows DVD players to become popular at a faster speed in the future.

Listening to Ronan's words, Mark Randolph nodded frequently, because all the things Ronan said could be realized through the Internet, once it is realized...

The whole world will change for it!

Mark Randolph was very excited, but he also maintained a calm enough time. The future seemed to be beautiful, but that was just the best idea. If it wanted to achieve it, it would require a lot of down-to-earth and complicated work.

The risks are also great.

Ronan said at this time: "My idea is to build Netflix into a streaming media company that integrates personal pictures and video releases, movies and TV video subscriptions, and online socialization and sharing!"

Mark Randolph and Robert Eiger did not speak, but were thinking carefully about Ronan's words.

The two thought of the same aspect. Once these were realized, Netflix would become a giant in the Internet industry.

But the future is bright and it is very difficult to achieve it. The difficulties and risks must also be taken into account.

Moreover, the plan is just a plan. If you want to turn it into a project on the ground, you must do enough preliminary investigations and market demonstrations to verify that the plan is indeed worthy of the investment.

In the next few days, Ronan and Robert Iger stayed in San Jose, frequently meeting with Netflix's top management staff to discuss future plans.

It was not until the eve of the Golden Globes that the two took a flight back to Los Angeles together.

There weren't many passengers in the business class, and Robert Eiger was still discussing previous development plans with Ronan.

"Have you ever thought about it, Ronan." Robert Eiger said bluntly: "To reach a plan, Netflix will need a lot of money."

Ronan nodded and said, "I know. Netflix now has a library of more than 23,000 films and TV series copyrights. In terms of new dramas and new film production, Shahai Entertainment is supported, so there is no need to worry too much about the content. The real obstacle is undoubtedly funds."

Robert Eiger reminded again: "I have carefully studied social carriers such as blogs. The initial investment was huge, but it was difficult to see effective returns. Funds are a problem we must solve."

Ronan had already considered it and said, "Bob, what if he chose a suitable opportunity to get Netflix to go public and raise funds?"

If Netflix wants to become a veritable Internet giant, it is impossible to achieve it with the power of Relativity Entertainment alone.

As a modern enterprise, Netflix is ​​actually the best choice to go public and financing.

Robert Eiger is an excellent business manager and certainly won't object, reminding him: "Please choose a good time."

Ronan said seriously: "It's too early to say this now. Even if it goes public, we have to wait for Netflix to build a recognized framework."

Robert Eiger nodded first, then turned to the point: "Ronan, have you ever thought about it? If the online video subscription business really develops and meets the goals you plan, it may have a huge impact on the traditional film and television industry."

"It's possible." Ronan said with a smile: "But even if everything goes well, Netflix will not be able to subvert the traditional film and television industry in a short period of time. Relativity Entertainment itself is a representative of the traditional film and television industry. We must combine Netflix's possible future advantages with the advantages of the film and television group, so that the two sides can effectively complement each other."

It is easy to advance payment to the traditional film and television industry, but it is not so easy to do.

The United States is a bit better. Even if it is like Netflix, it has been boycotted by many Hollywood companies and directors such as Spielberg, it can still develop relatively freely.

However, in many overseas regions, it is very difficult to carry out Netflix's business.

For example, France.

France has strict legal restrictions on the exposure of a movie on various platforms: from the release of the movie in the theater, you can log in to the video on demand platform after 4 months, arrive on cable TV after 10 months, arrive on wireless TV after 22 months, and appear on streaming media platforms after 36 months.

Netflix belongs to the end of this chain.

The storm caused by Netflix, in the Mo sense, is also a conflict between two cultural values, and a challenge for the growing streaming media platform to traditional media.

The more important reason is that a movie has a protection period between the release of theaters and the launch of the Internet, and each country has different requirements for the length of the protection period.

European countries like France have legislation on film, which determines that all blockbusters released in theaters will be paid in a certain proportion of the box office revenue in the form of movie taxes. For Hollywood blockbusters, the tax rate is even higher.

All this income will be used to the country's support for art films.

This does not exist in the United States at all. There is no special tax on films that support artistic innovation and no government intervention. All the development of films and theaters is operated based on absolute business laws.

Therefore, Netflix once caused much worse boycotts at theaters, industry and political levels in the United States.

In Ronan's last few years on the other side of the Pacific, the revenue capacity of many online movies and TV series has exceeded that of traditional platforms such as theater movies and TV stations.

The chain effect this brings can be imagined.

The road ahead is difficult, but Ronan has no idea of ​​retreating. If he wants to break the rule of traditional giants, he must use methods other than traditional ones.
Chapter completed!