Netflix Recognizes its Need for Speed Moving Ahead

House of Cards Netflix

House of Cards Netflix

Netflix has recently updated its directions and goals after realizing the need for speed in terms of streaming and bandwidth. The online streaming service is looking to achieve what HBO took years in a short amount of time. The company is looking to focus on original content production such as ‘House of Cards’, and they believe faster speed can give them and edge.

Chief content officer at Netflix Ted Sarandos said Netflix has built a huge subscriber base at a fast pace and he expects the speed of subscription to continue. Charlie Ergen, chairman of Dish (a rival company), feels that the strategy adopted by Netflix is working and it was too late for them to put in a challenge. He also regrets for not chasing the original strategy.

Chief executive officer of Time Warner Jeffery Bewkers acknowledged Netflix success with their House of Cards. During the call earnings of his company, he labeled the series as ‘pretty good’. HBO has been running the circle of original programming for over 20 years, and now Netflix is joining the ranks. It does take time to get to a particular level.

House of Cards is directed by David Fincher and it show stars Kevin Spacey.  Ted Sarandos also recently announced the show will be eligible for Emmy Awards in all categories.

Netflix was aware that its video streaming service consumed a lot of bandwidth, and therefore, they are looking to reduce the burden faced by consumers. The company announced its first deal with a U.S cable operator back in January, announcing consumers will be able to store and manage TV and movie content directly with servers stored in the network of the cable provider. This will lead to an enhanced video streaming experience for those who have subscribed to Cablevision.

On the other hand, smartphone and tablet users can rely on different tools and resources to enhance their experience such as a clear wireless coverage map.

Netflix also mentioned at the CES event that was organized in Las Vegas that the Los Gatos, Californian Company has struck deals with many smaller ISPs (Internet Service Providers) at home and across borders.

According to the official website of Netflix, deals like Cablevision have the potential to increase network efficiencies and reduce the operational and capital costs. The hardware and software is available for free for participating ISP companies. To ensure the best quality delivery of its original content, the company is making investments in local servers in ISPs. Subscribers who use OpenConnect will also get a chance to experience 3D and Super HD quality content.

Netflix also became a client of Palo Alto-based startup eyeIO, which is aiming to reduce the bandwidth needs of the content streaming company by half, without compromising the content quality (picture, sound etc.).

eyeIO can reduce Netflix’s bandwidth consumption of 3.8 Mbps of bandwidth to 1.8 Mbps of bandwidth in the steaming of 720p HD videos. According to a spokeswoman from eyeIO, Netflix has already begun deployment of the technology. The eyeIO technology is used to improve the quality of video content through optimization of the encoding process and it also helps in reduced bandwidth consumption.

Netflix will continue to make investments and strike partnerships in an effort to provide the best user experience while keeping the cost down.