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Futuresource Sees Netflix Global Subscriber Base Reaching 80 Million by End of 2016

The wider availability of services on a fast-growing connected-device base “has led to a vastly improved viewing experience for many in the online video sector, encouraging consumers to pay for premium content,” said a Futuresource Consulting report Tuesday. It described a “perfect storm” in which Netflix has been able to capitalize “on the growing trend to access content via IP.” Netflix has used its low-priced subscription VOD business model to increase its global customer base to 60 million, of which 40 million are in the U.S., it said. Futuresource estimates the global total will reach at least 80 million by the end of 2016, it said. This would make Netflix “approximately twice as big” as any other pay-TV content provider except HBO, which is available in 114 million homes worldwide, it said. For Netflix, “international expansion has been a huge success, with most countries it has launched in exceeding expectations,” it said, citing the recent Netflix debut in Australia. “However, uptake in Germany and France has been slower, with some resistance to the service, whilst Japan could be its toughest and potentially most expensive launch yet, with language, culture and content in Japan all very different to Netflix's previous experiences of international launches.” Netflix representatives didn’t comment.