

Studios do everything involved in the production of these shows. (You can read more about this in my piece on why shows get canceled.) Sometimes, that licensing fee is large enough to cover the studio's production costs other times, the studio operates at a loss in hopes of recovering its money further down the line. It then sells the show to a network (or, in the case of Netflix, a streaming service), which pays a licensing fee to the studio for the content. The show is actually made by the studio, which incurs production expenses in the course of making that show. The relationship that produces your favorite TV shows is a complicated one, involving two major entities. Netflix doesn't own its most successful shows But it almost certainly will care at some point, and figuring out how to manage that change will be its next big evolution. It's in a stage of its life where it just needs to gobble up as much programming as it can. And while that makes business sense for Netflix right now, this is also the greatest weakness in the company's strategy.įor right now, Netflix likely doesn't much care about this. They are, instead, owned by other companies that make most of the money off those shows. See, Netflix doesn't actually own the hit shows it airs. Netflix doesn't actually own the hit shows it airs This might seem antithetical to Netflix's overall strategy, where you have to buy a subscription if you want to stream the service's shows, but what many Netflix subscribers don't realize is that the service has essentially no say in the matter. Perhaps surprisingly, the show is also released on DVD (why, you can buy the second season right now) and for digital download (you can buy the second season that way, too). It marks a long weekend of binge-watching the 13 newest episodes of the show for its many fans. The third season of Orange Is the New Black, Netflix's most critically acclaimed original series, has released on Netflix several hours early.
