Netflix, one of the biggest OTT (over-the-top) platforms in the world, is now reportedly planning to venture into live streaming of sports. This is something that Netflix hasn't tapped into yet. OTT platforms such as Disney+ Hotstar, SonyLIV and Amazon Prime Video have already ventured into sports live streaming. If Netflix is able to get streaming rights to any major sports event, it could potentially boost the revenues of the platform as they also bring in ad revenues for the platform. Wall Street Journal reported on Tuesday that Netflix has recently bid for the streaming rights for sports leagues.
Will Netflix Pay Big to Get Streaming Rights
As per the report, the platform recently bid for the streaming rights for the ATP tennis tour for some European countries but then dropped out. The company is going to avoid high-profile events due to the mounting costs of streaming rights for sports. Instead, the report suggests that Netflix might be thinking of going for a lower-profile event to ensure that it can bid within a well-defined budget. In fact, given the size of the platform, if Netflix onboards some of the less popular sports into the platform, it could help in popularising the sport.
Netflix has been struggling to keep the subscriber churn rate in check. The OTT giant has been trying out various methods to keep adding new users. Platforms such as Disney+ and more are eating away the market share of Netflix, which can stream live sports for users. In order to boost the number of subscribers, Netflix launched an ad-based plan for the first time for consumers in several countries. The platform is going to boost the availability of the ad-based plan in more countries and for more users in the coming months. Netflix can definitely look to get the streaming rights of cricketing tournaments around the world as it garners a lot of attention from the sub-continent, Australia and Europe.
