Netflix chief believes the streamer saves Hollywood

Ted Sarandos believes cinemagoing is fading

Netflix's co-CEO Ted Sarandos believes that watching films in the cinema is going out of fashion and that his streaming platform is the cure Hollywood needs.

As per Guardian, Sarandos spoke about his views regarding fading cinema culture at the TIME100 summit in New York on Wednesday. Responding to a question about whether or not Netflix has "destroyed Hollywood", Sarandos debated that on the contrary the streamer has "saved Hollywood."

The chief executive said that Netflix is accessible to those living in rural regions with no means of going to the cinema. Describing Netflix as a company that focuses on its consumers, he said, "We deliver the programme to you in a way you want to watch it."

Sarandos cited declining box office numbers, before posing the question of the audience's preferences. He judged that the audience is trying to convey that "they'd like to watch movies at home."

He didn't deny that watching films is a communal experience, though he remained committed to his viewpoint. "I believe it is an outmoded idea, for most people – not for everybody," he said.

In 2019, Netflix did indeed take over the last single-screen theatre in Manhattan. In addition, the pandemic saw a surge in the streamer's primacy, though it still awaits its best picture award at the Oscars.

Sarandos credited Netflix for making people more open-minded, going over the six different genres that viewers consume on the streaming service. He also pointed out that a promotional event for WWE Raw featured a live chamber music performance inspired by the Regency show Bridgerton.

Referring to his comments at an earlier summit, where he observed that the entertainment industry often gets "thrown under the bus" when it comes to trade deals, Sarandos added that there are certain investment obligations that only entertainment businesses are expected to follow.

"What I was saying is, it's often that the entertainment industry doesn't get treated like a real business, and that's one of the examples of it," he said.

In 2023, Hollywood actors and writers went on a strike over the lack of monetary compensation from streaming platforms, as well as film studios' use of artificial intelligence.

The two unions – the Writers Guild of America (WGA) and The Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA) – reached a tentative agreement. As per Variety, the deal allowed for a 7 per cent pay increase and also included a "streaming participation bonus".

A month later, SAG-AFTRA ratified its contract with Hollywood studios, thereby ending the strike. Zac Efron and Octavia Spencer were among high-profile actors who backed the movement in support of lesser-known performers.