Netflix Available Via 300 Million Pay-TV Set-Top Boxes Globally

Though seemingly competitors, pay-TV and Netflix have generated a relationship that sees the streaming giant accessible through pay-TV subscribers’ set-top boxes in more than 300 million households worldwide.

Based on a study by Ampere Analysis, Netflix has more than 100 major partnership deals with pay-TV providers, which Ampere says gives them theoretical access to almost half of all global pay-TV subscribers outside of China.

Netflix is most prevalent on set-top boxes in the U.S., as 86% of pay-TV subscribers could access Netflix on their operator’s set-top box at the end of 2018. At the same time, Netflix had agreements with Western Europe pay-TV operators to reach about three quarters of the region’s pay-TV subscribers.

These are the two main areas for Netflix, as its reach in other global regions—Central and South America, Asia Pacific and Central and Eastern Europe—pales in comparison. Ampere estimates that Netflix has about 40 million subscribers in these regions out of 400 million pay-TV subscriptions. Ampere does note that Netflix is attempting to build out in those regions.

“The increase in number of pay-TV partnerships with Netflix marks a distinct shift in the industry, as more and more of the streaming giant’s traditional ‘enemies’ cosy up through onboarding deals,” said Elinor Clark, analyst at Ampere.

“Of course, Netflix is not the only beneficiary,” Clark continued. “These partnerships can also be lucrative for pay-TV operators, providing them with additional revenue stream when there may be downward pressure on their average revenue per user and, in some markets, cord cutting.”―TV Technology

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