Our collection of media news that caught our eye. This week, we look at Twitter and Netflix.
- Twitter is transitioning from selling ads and relying on ad profits to selling data due to the growth that market has undergone and thus the growth Twitter’s profits could see.
- This represents Twitter’s growing presence as a media company on top of its role as a social platform.
- Twitter is attempting to increase the revenue it earns from data due to the fact that advertising can be a fairly unreliable, vague revenue source; it is very easy to both hit the nail on the head or totally miss the mark with advertising and ad placement.
- For the first quarter of this year, Netflix beat subscriber growth expectations both in the United States and globally.
- Its profits were fewer than those during this quarter of 2014, but Netflix is investing heavily in expanding its global market and aims to start making profit off this market past 2016, which is when the company predicted on Wednesday it should start to break even from its international ventures.
- Netflix has faced challenges from other paid subscription streaming services that have arisen recently, such as that of HBO. However, Netflix’s unexpected growth in subscribers both domestically and internationally is likely due to the growth in quality and popularity of the original content it continues to put out.