×
You will be redirected back to your article in seconds

Barry Diller: Disney’s Streaming Service Won’t Beat Netflix

Disney’s decision to start its own streaming service makes sense, said IAC chairman and former studio exec Barry Diller during a keynote conversation at the Internet Association’s Virtuous Circle Summit Monday morning. However, the Mouse shouldn’t expect to ever catch up to Netflix. “The network effect is so huge,” he said.

Diller reiterated his view that big tech companies like Google, Apple, and Netflix are virtually unstoppable. “I do not think these large companies will be interrupted in their growth,” Diller said. “Every year, they take more share rather than lose share.”

As part of that growth, it would be natural for companies like Amazon to buy more and more media content, and even bid for sports rights. However, Diller argued that the Amazons and Googles of the world won’t buy studios or other legacy media companies any time soon: “I don’t think they need to, really.”

Diller did agree that there was a danger in the big tech companies getting too big without regulatory oversight. “They are going to get larger. Regulation has to follow, or should follow,” he said. One of the areas that could use more regulation is ad targeting and the possibility to abuse it for political purposes, he argued.

The big tech companies also have a huge impact on Diller’s own business, who revealed Monday that Expedia and IAC together spend about $3.5 billion a year on advertising. “80% of it goes to Google.” Still, he argued that it wasn’t necessary to put a stop to these companies’ growth: “I don’t think they should be broken up.”

Diller, who decades ago led Paramount and Fox, on Monday also opined on the future of the movie business. With Netflix and Amazon increasingly investing in movies, the traditional release windows would ultimately collapse. Theaters would continue to exist for communal experiences, but most consumers would watch new releases from the comfort of their own couch in the near future, he said: “The vast majority is going to be day-and-day, in your home.”

More Digital

  • Nick Eh 30, StoneMountain64

    CAA Signs Gaming Influencers Nick Eh 30, StoneMountain64

    CAA has signed two popular live-streaming battle royale gamers — Nicholas Amyoony, better known as Nick Eh 30, and David Steinberg, aka StoneMountain64 — for representation. CAA said it will work to create opportunities for Nick Eh 30 (above left) and StoneMountain64 (above right) in all areas, including TV, motion pictures, touring, digital distribution and [...]

  • Amazon Adds NBA League Pass to

    Amazon Adds NBA League Pass Live-Streaming Games to Prime Video Channels

    Amazon is bringing pro hoops action to Prime Video Channels: The ecommerce giant now offers NBA League Pass as part of its lineup of 150-plus subscription options for Prime members in the U.S. It’s the first U.S. live-sports subscription service on Prime Video Channels. Prime members can subscribe to NBA League Pass via Prime Video [...]

  • Fifty Shades of Grey

    International Piracy Ring Stole Over 25,000 Movie and TV Digital Files, U.S. Feds Say

    A five-member international hacking crime ring stole more than 25,000 files for Hollywood movies and TV shows and illegally offered hundreds of them for sale online, according to U.S. law enforcement officials. A federal grand jury in L.A. on Wednesday (Dec. 12) indicted five men, identified as residing in the U.K., India, Dubai and Malaysia, [...]

  • Phil Schiller, Apple's senior vice president

    Apple to Update iPhones in China to Avoid Sales Ban

    Apple is pushing out a software update to iPhones in China to address a recent court order obtained by Qualcomm that banned the sale of certain iPhone models in the country. The update will allow the company to continue selling its phones in China, company representatives told Reuters Friday morning. The Fuzhou Intermediate People’s Court [...]

  • Kevin Reilly Variety Cover

    Kevin Reilly Named Content Chief for WarnerMedia Streaming Service

    Kevin Reilly — a veteran television exec who has led programming at NBC, FX, Fox, and most recently Turner Broadcasting — has been tapped to head content strategy for the still-nascent streaming service that WarnerMedia plans to launch next year. Reilly, who has led programming at Turner brands TNT and TBS since 2015, will serve [...]

  • Apple Culver City

    Apple Expects to Have Over 1,000 Employees in Culver City by 2022

    Apple announced plans to boost its L.A. presence, saying it expects to have more than 1,000 employees in Culver City, Calif., over the next three years, including its growing entertainment team. The move is part of the tech giant’s broader initiative to create 20,000 jobs in the U.S. by 2023 and includes a new $1 [...]

More From Our Brands

Access exclusive content