Hollywood’s love-hate relationship with Netflix is getting complicated. Recent reports highlight how Netflix benefits traditional TV networks while undermining them at the same time.
A report published in Ad Week looked at the way binge-watching on Netflix boosted the ratings of shows on network TV.
Premium cable network Showtime has aired Shameless for eight seasons. Ratings for such an old show would normally slip as the show headed towards cancellation. Thanks to Netflix, however, Shameless’ ratings grew 25% over last year. People who discovered the show while looking for something to binge switched to Showtime to find out what happened next.
The same thing happened with Riverdale, The CW’s adaptation of the Archie comics. Season 1 hit Netflix shortly before the season 2 premier, generating a 60%-80% increase in viewership among key demographics.
… Is So Wrong
At the same time, Netflix is sucking talent and content away from the traditional media system. The final installment of J.J. Abrams Cloverfield franchise, Cloverfield Paradox bypassed the theatrical release of its predecessors for a straight-to-Netflix release (Vanity Fair).
Just today, Netflix poached showrunner Ryan Murphy away from FX (The Verge). The creator of American Horror Story will produce Ratched, based on One Flew Over the Cuckoo’s Nest-inspired fan fiction as well as a political satire starring Ben Platt.