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Netflix wants to further expand into international markets next year, according to the company’s CFO David Wells, who said at an investor event Tuesday that it plans a “sizable expansion” for 2015. Wells added that the expansion will be similar to what Netflix did in 2014, when the company entered six new countries in Europe, or potentially even “a little bit more.”
[company]Netflix[/company] launched its service in Germany, France, Austria, Switzerland, Belgium and Luxemburg in September. Wells didn’t reveal subscriber numbers for any of those new markets, but said that the engagement in some of those markets has been “stronger than any other market that we have launched.”
Asked about the potential size of Netflix’s international market, Wells said that there are about 600 million broadband households outside of the U.S. Netflix could capture 10 percent, or possibly even more, of that addressable market, he argued, and added that the company may generate 50 percent or more of its revenue outside of the U.S. within the next three to five years.
One of the more notable aspects of Wells’ interview were some statements he made about Asia. He said that Netflix is aware of the many opportunities and challenges Asia represents for Netflix, in part because there is a much bigger focus on local content. “Let’s park that as separate,” Wells said, suggesting that the company may not be ready to commit to an expansion to Asia just yet.
Recent reports suggested that Netflix may be preparing to launch in Australia next, where the company has apparently already hired agencies for a media campaign.