Live sports aren’t coming to Netflix anytime soon.
On Tuesday’s earnings call, Netflix co-CEO Ted Sarandos said that the company would “have to see a path to growing a big revenue stream and a great profit stream with it” before it could add live sports.
But even if the streamer doesn’t offer live sports, it isn’t completely missing out. Sarandos added that the company will continue to explore sports-related content and documentaries.
- Netflix has seen great interest in its “Formula 1: Drive to Survive” docuseries, and launched its fourth season last month.
- Since the show debuted, F1’s viewership has increased nearly 50%. Netflix co-CEO Reed Hasting previously said it would consider buying the rights to F1.
- The streamer has also expanded into gaming, building on its storytelling knowledge. “We think we can build a big revenue and profit stream by adding games,” Sarandos said.
Netflix’s Nightmare
The company has bigger concerns at the moment than hopping into live sports. The streamer reported its first quarterly subscriber loss in more than 10 years — 200,000 customers, a significant difference from its expected addition of 2.5 million.
As of market close on Wednesday, the company’s stock was down more than 35%, dropping the company’s value by more than $45 billion. Despite the low numbers, Netflix’s first-quarter revenue still increased 10% to $7.9 billion.
