We’ve embraced the mantra that is “Quarantine and Chill,” and though it may seem a little disturbing––it’s all we can do for now. Lo and behold, Netflix is getting the longer end of the stick here as they are seeing an unprecedented and unexpected level of video streaming. This is why investors are so confident in trusting the streaming platform to be one of the few companies, especially in the entertainment business, to see an arrow pointing upwards during the pandemic and the lockdowns.
“We saw a dip in traffic [on March 23] from Netflix after all-time highs on Friday/Saturday,” AT&T said in a business update on Monday focusing on the COVID-19 response that Netflix data traffic across the U.S. networks reached record levels the past weekend.
Business-wise, there’s no shadow of a doubt that Netflix has been hitting home runs left and right across the globe. With the streaming platform “in a unique position to offer fresh content to a global audience that is hungry for in-home entertainment,” analysts at LightShed Partners raised estimates for the company’s first-quarter 2020 subscriber adds.
“With the inability to go out to the movies and linear TV reducing content output (no sports, late-night TV curtailed, reality TV shut down, etc), we believe Netflix usage is disproportionately benefiting among streaming video services as they have a steady flow of fresh original content,” the LightShed team led by Rich Greenfield wrote in a research note.
Netflix Chief Content Officer Ted Sarandos spoke on CNN’s Reliable Sources last Sunday. Sarandos did, in fact, take notice of the upward scale of views but didn’t really quantify the lift.
“The most important thing you can do is stay home. So we’re proud to be part of that, which is trying to make that stay-home experience a little more bearable for folks, a little more enjoyable, even, and give some families something to gather around, something for people to talk about, making us feel a little less isolated while we are being physically isolated,” Sarandos said.