Karel Ruzicka @RoseThorn__Trade: "𝐒𝐓𝐑𝐄𝐀𝐌𝐈𝐍𝐆 𝐏𝐋𝐀𝐓𝐅𝐎𝐑𝐌𝐒 – 𝐠𝐨𝐥𝐝 𝐦𝐢𝐧𝐞..."

Czech Republic

𝐒𝐓𝐑𝐄𝐀𝐌𝐈𝐍𝐆 𝐏𝐋𝐀𝐓𝐅𝐎𝐑𝐌𝐒 – 𝐠𝐨𝐥𝐝 𝐦𝐢𝐧𝐞 𝐨𝐫 𝐛𝐚𝐝 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭❔ Perhaps no other phenomenon has changed the world of entertainment and content viewing in recent years as much as streaming. Previously, we were used to seeing a movie in a cinema, then renting or buying, for example, cassettes or DVDs, or waiting for the movie to be on TV. But streaming has completely abandoned that model, and suddenly a lot of content is available online with a few clicks for a few dollars a month. Of course, this especially benefits the consumer, who doesn't have to watch ads and can watch almost anything at a time that suits them. But how is this sector doing from an investment point of view? Are streaming giants worth investors' attention? What is good for the customer may not be good for the company that runs the platform. In the past, many media companies also operated cable TV, for which people in the US had to pay high tens of dollars a month. People were also locked in, for example for two years, and at the end of the lock-in the operator offered them some kind of discount, so the customer often stayed with the operator or had no other choice. In addition, television also produced a lot of cheap content and had a lot of advertising revenue. But then came streaming, which is gradually displacing classic television almost everywhere in the world. But the economics of this business are completely different. Platforms cost a few dollars a month, some versions don't even have ads, there are no customer commitments, and platforms have to spend tens of billions of dollars on production or marketing to attract viewers. Current data shows that customers are very fickle and often switch platforms. While data varies by period or region, in general streaming platforms are gaining and losing subscribers on an ongoing basis. The following figure shows the monthly churn rate of individual streaming platforms. You can see that the best platform in this regard is Netflix, which still has a monthly churn rate of 3.4%, or about 40% per year. In other words, with Netflix, 4 out of 10 people cancel their subscription every year. If we look at other platforms, the data is even worse. For Disney+, the annual figure is around 60%, and for HBO Max it is even 84%. This gives streaming platforms a high degree of uncertainty about future cash flows. So there are a lot of problems in this industry right now, but streaming platforms are figuring out how to get out of them. In fact, none of them, except for Netflix, make money from streaming and are trying all kinds of new methods to help them. It is clear that streaming is here to stay, but which company will be the winner of this sector is yet to be decided. $NFLX (Netflix, Inc.) $DIS (Walt Disney) $WBD (Warner Bros Discovery Inc) $PARAA $AAPL (Apple) $NSDQ100

Not investment advice. The author may have financial interests in the mentioned instruments.