Tren Griffin @trengriffin I work for Microsoft. Previously I was a partner at Eagle River, a private equity firm established by Craig McCaw. I am on the board of directors of Kymeta. Nov. 07, 2019 1 min read

"You'll hear some subscriber numbers but you can just bundle things so that's not going to be that relevant. So the real measurement will be time -- how do consumers vote with their evenings? What mix of all the services do they end up watching?" Hastings  https://www.cnbc.com/amp/2019/11/06/netflix-ceo-reed-hastings-subscriber-numbers-are-not-that-important.html 

"Disney’s on the board of Hulu. Disney then bought [control of] Hulu. And yet when they go to launch with Disney+, no ads. When you’ve got a lot of insight into the model, you make certain choices. We feel very comfortable doing no ads, like Disney+.”  https://deadline.com/2019/11/netflix-ceo-reed-hastings-weighs-in-on-streaming-rivals-patriot-act-edits-movie-theater-windows-and-more-1202779438/ 

Netflix "isn't doing the very biggest movies. We're not in the business of theaters. We're in the business of pleasing our members."  https://www.engadget.com/2019/11/07/netflix-ceo-says-time-spent-streaming-matters-more-than-subscrip/ 

4/ "Iger acknowledges that production costs are rising but argues that Disney’s in a better position than its competitors, because its existing properties are strong and it doesn’t have to bid wildly for new ones."  https://www.bloomberg.com/news/features/2019-11-07/inside-disney-bob-iger-on-star-wars-pixar-and-more?srnd=premium 

5/ Iger: "We have the benefit of being able to say there’s nothing we absolutely have to have. That doesn’t mean we’re not going to reach for quality and things we get really excited about.”

Wholesale transfer pricing!

 https://25iq.com/2018/02/03/business-lessons-from-reed-hastings-netflix-part-1/ 

 https://25iq.com/2018/02/10/business-lessons-from-reed-hastings-netflix-part-2/ 

6/ Warren Buffett: "The nice thing about the mouse is that he doesn't have an agent. You know I mean the mouse is yours and he is not in there renegotiating and you know every every week or every month. [Disney] understands all of that very well."

Wholesale transfer pricing!

7/ Tren's "Wholesale Transfer Pricing" explainer tweetstorm  https://threadreaderapp.com/thread/1183035523603951619.html 

8/ 25iQuiz: Are the "costs" being referred to in this headline COGS or CAC? Or both? If both, how much cost is for each category?

"Disney’s direct-to-consumer and international unit reported an operating loss of $740M from July through September"

 https://www.reuters.com/article/us-walt-disney-results/lion-king-lifts-disney-earnings-as-streaming-costs-stay-under-budget-idUSKBN1XH2TB 

9/ Bonus 25iQuiz questions:

Are short term GAAP earnings the best way to determine if shareholder value is being created by the addition of a Disney+ customer?

What are the unit economics of a Disney+ streaming customer?

Are "earnings" an opinion?

 https://www.google.com/amp/s/www.hollywoodreporter.com/amp/news/behind-disney-apple-tv-hbo-max-free-giveaways-1250829 


You can follow @trengriffin.



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