Is Twitter Going To Compete Netflix?
Twitter’s first-quarter financial results, which were presented last week, gave investors a reason to rejoice because the number of users has begun to grow again. And while the company is talking more and more about expanding its video content and live streaming service, its ambitions can surprise many, CNBC says.
Social Network Chief Executive Jack Dorsi announced on Monday the first details of his plan to provide an uninterrupted flow of content.
“We want to be the first place where a person is heard about something that is happening and what matters to him,” Dorsey said at an event in New York. “The first place where people can hear what’s important.”
Twitter announced 16 new deals, including streaming sporting events and musical concerts. Having a targeted video about major events, such as sports and politics, is one thing, but filling a 24-hour program every day with content without its low quality can be a great challenge.
We want to be the first place where one can hear about something that happens and what matters to him “ Content is a king,” and this phrase has not been truer from now on. Companies that previously did not bet video content at all is now boldly heading in that direction. Apple is an example of this with the “Carpool Karaoke” series with James Cordon. Amazon also stated on its prime video streaming service.
Dangerous to Twitter is that it will face bigger competitors with deep pockets who are not afraid to spend money to gain market share and consumers. The social network runs the risk of going into the war on content, and this may be an embarrassment for investors. And their worry is already there.
Amazon made a deal with the National Football League in the United States for the broadcast of matches, and information appeared in the media that the one-year deal was worth $ 50 million. Last season Twitter again had the opportunity to bid for this deal and pay $ 10 million. Amazon, however, appeared and gave 40 million dollars.
Anthony Noot, Chief Operating Officer of Twitter, rejected these concerns in an interview with BuzzFeed, saying the company could bid for other rights.
Twitter has great ambitions for events. She said that 5.1 million people watched the Grammy Awards on her live platform, and most of them probably wrote and tweets. But while continuing with its ambitions in this direction, Twitter faces Netflix, which plans to spend $ 6 billion on content this year. At the same time, Amazon continues to do the same.
If Twitter faces these two giants whose investors will give them time to invest money in that direction, the social network may fail to reach key content easily. And that may hinder her 24/7 content delivery plans.
In addition, it is questionable whether investors will tolerate spending money on content, given that the company has to prove it can continue to attract new consumers for a long time.
There is no doubt that the live video is the future of Twitter, but any plan to compete with the giants will require tactical solutions, targeted spending, and focused programs to avoid a wholly targeted war.