Online video and movie streaming site, Netflix, faces the same issues from piracy that tradition content providers have to deal with on a daily basis. However it seems that the technology firm has a very different outlook about the situation and do not see piracy as a major threat. Traditional businesses have gone on the offensive against piracy by pushing through stronger legislation and using the courtroom as a tool to prosecute offenders. Netflix’s chief content officer, Ted Sarandos, does not think that heavy handed measures like that are necessary.
Sarandos spoke with Stuff Magazine and said that, “The best way to combat piracy isn’t legislatively or criminally but by giving good options.” He goes on to say that, “people are mostly honest” and are actually looking for a good experience along with convenience. These are two things that torrents are not known to provide.
Netflix has been able to become dominant because it offers a very affordable service that is simple to use. Some observers argue that piracy occurs in an environment where content is expensive and hard to get a hold of, forcing some people to steal. One very good example of this is the top ranked HBO show, Game of Thrones. The series has become known for being one of the most pirated TV show in the world. In 2011, the first season became the the most pirated television show of the year while the second season took the crown in 2012. The premier of the third season took the crown and was the most pirated TV episode in history.
The piracy issue is not as straightforward as many want to believe. A study by the 2012 study by the American Assembly and Columbia University reveals some very interesting insights about piracy. For example, the report shows that people who pirate music also buy more music than people that do not pirate music. These users actually end up consuming more music overall and have content collections that are 37% bigger than strictly legal collections. The most surprising find in the study is that pirates actually purchase 30% more music legally than people who buy all their content legally.
The study concludes that, “The biggest music pirates are also the biggest spenders on recorded music. If absolute spending is the metric, then P2P users value music more highly than their non-P2P using, digital-collecting peers, not less. They’re better digital consumers.” This may be why Netflix’s attitude toward piracy may be the most realistic in today’s world.
Source: TechVibes