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Binge watching may be bad for Netflix

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Monday, August 26, 2013

WSJCheatsheat: Netflix has made the practice of binge-watching popular, with users of the streaming TV service able to watch endless seasons of their favorite shows with no interruptions, but it may have negative impact on bottom line.

Variety analyzed a small disclosure in Netflix’s second-quarter earnings report, which said, “We are in the early stages of original content, and continue to monitor whether the viewing pattern is higher than initially expected in the first few months to suggest that we amortize at a faster initial rate.”

 

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