The usual rules of business economics don’t apply right now in Hollywood, as tech and media companies engage in a “land grab” for streaming subscribers by spending heavily on programming, Hollywood producer Jason Blum said on Tuesday. He predicted this period would last for another two to four years.
New services, ranging from Apple’s Apple TV Plus to Disney Plus and more services coming next year from AT&T’s WarnerMedia and Comcast’s NBCUniversal, are hoping to catch up to industry leader Netflix. They believe that the subscribers they grab now will stick around. Blum, who runs independent production firm Blumhouse, said he was skeptical that was true, however.