US Platform Wars: Becoming a Global SVOD

Do you remember when Netflix was the only streaming platform available?

In 2007, Netflix revolutionized home entertainment by offering subscribers the ability to stream select movies and TV shows directly to their devices. Gone were the days of waiting for DVDs to arrive in the mail—users could now enjoy instant access with just a device and a stable internet connection.

Fast forward 13 years, and the streaming landscape has transformed dramatically. Today, there are over 200 subscription video-on-demand (SVOD) services worldwide.

When Disney+ launched in November 2019, it garnered 10 million subscribers within its first 24 hours. This surge doubled Disney’s market value over Netflix’s overnight.

In 2019, global SVOD subscriptions reached 642 million—up from 508 million the year before. By the end of 2020, that number is expected to approach 750 million, fueled by shifts in viewing habits during the COVID-19 pandemic. By 2025, worldwide SVOD subscriptions are projected to hit an astounding 1.1 billion.

Preparing for Global Success

Netflix's Early Strategy

When Netflix began producing original content, it followed the industry’s standard model: acquiring content rights only for markets where it had an active presence. IP owners or distributors sold content to the highest bidder, leaving localization to the buyer.

This strategy faced significant hurdles during Netflix’s Nordic launch. Many studios sold their content to Netflix but didn’t hold the rights to previously created Nordic subtitles. Broadcasters who originally aired the content owned those rights, creating a mad scramble to localize hundreds—if not thousands—of titles into four Nordic languages all over again.

This time, Netflix archived the assets and ensured proper rights acquisition, marking a turning point in the industry’s localization strategy.

Discovery+ Joins the Global Arena

On December 2, 2020, Discovery Inc. announced the global launch of Discovery+, set to debut on January 4, 2021, in seven countries.

Discovery+ now joins the ranks of international SVOD platforms such as Disney+, Netflix, Amazon Prime Video, and Apple TV+. Meanwhile, HBO Max and Hulu plan to enter international markets in the second half of 2021.

Why Go Global?

With more than 200 streaming platforms worldwide, why haven’t more of them expanded globally? The answer lies in the complexities of content rights.

Untangling outdated rights agreements is a lengthy process, and acquiring international rights is costly. Companies must make strategic decisions:

1. Should we acquire global rights now, even if we’re only active in domestic markets?
2. Should we sell content to other platforms to offset production costs?
3. Should we retain our content for future international launches?

Regardless of the decision, owning localized assets and managing brand globalization are non-negotiable. Platforms like Netflix now consider localized assets as primary resources, a significant shift from treating them as secondary.

The Future of Streaming Platform Wars

Disney+ aims to become the largest SVOD platform by 2025, with an anticipated global subscriber base of 194 million. Its strong international rollout strategy underpins this projection.

Research forecasts that “the US and India will account for nearly half of Disney+ subscribers by 2025,” thanks to the bundled US offering of Disney+, ESPN, and Hulu, as well as Disney+ Hotstar’s dominance in India, driven by its coverage of IPL cricket.

Getting Started

Thinking about launching your platform globally? Partner with Arrow Translation to streamline your subtitling, dubbing, and localization processes. Our expertise ensures high-quality translations while securing appropriate rights for your localized assets.

We can help localize every aspect of your platform, from user interfaces and content summaries to terms and conditions, chatbot customer support, and direct-to-consumer marketing campaigns.

Contact us today to learn more about how Arrow Translation can

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