and yet they still make mind boggling losses with no end in sight. I think in the next 10 years Netflix will serve as a reality check that shows why content creators have had to resort to their ugly business practices.
That’s assuming all the customers will continue to subscribe including a bunch of price increases and nearly double the current amount of subscribers.
“We expect the steady subscriber growth, together with gradual price increases will outpace the increasing investment in content and the upfront working capital spending on self-produced and owned programming, resulting in steadily improving margins. We believe that those margins will need to grow from the 7% range of 2017, to the low to mid 20% range to generate positive cash flows. As a result, we forecast the company becoming cash-flow positive in approximately five years.”
