Netflix wants to improve its original movies through an unorthodox plan.
The popular streaming company recently stated that it intends to restructure its film division and make fewer original movies to better improve them for audiences.
Netflix previously ramped up its film development efforts following the trend when studios started building their own streaming services instead of licensing their movies to it, per Bloomberg.
Tripp Vinson; James D. Stern; Co-CEO and Chief Content Officer at Netflix Ted Sarandos; Head of Global Film at Netflix Scott Stuber; Director, Original Studio Film at Netflix Jason Young; and Vice President, Original Studio Film at Netflix Ori Marmur attend the Netflix Premiere of Murder Mystery 2 on March 28, 2023 in Los Angeles, California.
Netflix Movie Improvement Plan Details
Netflix Film Division chief Scott Stuber mentioned in an interview that the company is attempting to scale back its output by restructuring its film division so it can ensure more of its original titles are of high quality.
The company expects that the change will mean a handful of layoffs would occur and the departure of two of its most experienced executives, namely, Lisa Nishimura and Ian Bricke. He didn't mention how many people were losing their jobs due to the restructuring, though the numbers are supposedly smaller than the layoffs it initiated in 2022.
Nishimura previously led Netflix into standup comedy and original documentaries since 2008 and is responsible for documentaries and smaller-budget films as of press time. Meanwhile, Bricke is the Film Division's vice president after more than a decade of service, as evidenced by his contribution to making "The Kissing Booth" movie franchise and his work with filmmakers Nicole Holofcener and the Duplass brothers.
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In addition to the layoffs and the loss of two of the company's most experienced executives, the restructuring of Netflix's Film Division would mean the merging of two of its teams. These consist of the team working on small independent projects with a budget of $30 million or less and the unit that produces mid-budget films that cost $30-$80 million to make, per Engadget.
These teams were the result of its efforts to hire more staff to boost its production of movies, which led to the creation of multiple divisions responsible for movies at different price points. Despite the number of original films Netflix released, only a few won accolades, eyeballs that watched for hours, or had the kind of cultural impact some of the biggest blockbusters had achieved.
These movies include "Red Notice," "Don't Look Up," and "Glass Onion: A Knives Out Mystery," per Netflix's Top 10 page.
Why Netflix Releases More Films In 2023
Netflix is banking on the idea that quality is better than quantity for 2023 to attract customers both old and new back to its platform. According to Make Use Of, the reason why Netflix wants to release fewer movies was because of the significant amount of subscribers lost during 2022 due to rising competition, account sharing, and adverse global economic circumstances.
Speaking of the economy, the company feels the need to pull back its movie production because of the grim economic outlook for 2023 due to the ongoing economic recession following the pandemic.
Lastly, Netflix believes that it doesn't need to release so many movies anymore because it is past the so-called "most cash-intensive phase," with the company stating that it had successfully scaled its original programming initiative after a decade into executing it.
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