Netflix ‘will spend $17 BILLION on content in 2020’ – up $2 billion from last year

Netflix is forecast to spend $17.3 billion on content in 2020, up $2 billion from last year, as the streaming war with Apple and Disney intensifies. 

A new report by BMO Capital Markets predicts the company is on track to spend $26 billion by 2028. In 2019 they spent $15.3 billion on content. 

Figures show its spending on programming has risen year on year as it popularity soared. In 2018 the steaming giant was spending $13 billion on content; in 2013, $2 billion. 

The heavy investment comes amid high-powered threats from Apple and Walt Disney Co., who each launched their own sites late last year.  

Netflix screened a record 802 hours of original programming last year, up 3 per cent. That included Oscar nominees The Irishman and Marriage Story. 

They have also already announced plans to work with Nickelodeon for animated originals, Game of Thrones’ co creators David Benioff and Dan Weiss and South Korean media business CJ ENM’s Studio Dragon.

Disney has said it will spend $1 billion on original programming for Disney Plus in 2020. HBO Max will reportedly see investments of $2 billion in the coming year. And Apple TV+ saw a $6 billion investment in content in its first year. 

Cowen & Co. analyst John Blackledge told Variety: ‘We continue to believe Netflix will hit or exceed its U.S. paid net add guide.’ 

Netflix added 6.8 million subscribers worldwide from July through September last year, below the 7 million customers forecast by the Los Gatos, California, company. 

Its fourth-quarter 2019 earnings report will be released on January 21. 

Netflix is counting on the unique lineup of award-winning TV shows and movies that it has amassed since expanding into original programming six years ago to help it retain its competitive edge and attract more subscribers. 

The company secured a total of 24 Oscar nominations with The Irishman, Marriage Story and The Two Popes. 

It has taken advantage of its head start in video streaming to track the viewing interests 158 million subscribers around the world, giving it valuable insights into the kind of programming that is most likely to appeal to wide swaths of its audience.

Netflix screened a record 802 hours of original programming last year, up 3 per cent. That included Oscar nominees The Irishman, pictured, and Marriage Story

Netflix screened a record 802 hours of original programming last year, up 3 per cent. That included Oscar nominees The Irishman and Marriage Story, pictured

Netflix screened a record 802 hours of original programming last year, up 3 per cent. That included Stranger Things, pictured

That knowledge, in theory, will help Netflix and choose which TV shows and movies to back in the future as it bids for programming against the likes of Apple, Disney and existing rivals such as Amazon and AT&T’s HBO.

Even if Netflix keeps picking winners, some budget-conscious subscribers may be tempted to abandon its service and be content with the entertainment options being dangling by Apple and Disney. 

Apple is trying to make its new streaming service even more tempting by offering it for a year to anyone who buys an iPhone, iPad or Mac computer. And Disney heavily promoted classics such as ‘Snow White and The Seven Dwarfs’ and ‘The Lion King.’ 

Beloved TV series ‘The Office’ and ‘Friends’ will disappear from the service in 2020 and 2021 in separate decisions made by NBC and AT&T.

Netflix’s stock was trading at around $338 a share on Thursday

It was 2011 when Netflix first announced plans for their own original content, acquiring the rights for House of Cards. The show debuted a year later.   

Its total liabilities, including long-term debt, last totaled $24.1 billion. Its stock was trading at around $338 a share on Thursday. 

DailyMail.com has contacted Netflix for comment.