Many people know that streaming platforms are used not only to play content, but also to earn money on it. Netflix is a platform for the transmission of video content. Therefore, unlike music streaming services, Netflix pays for the use of music, and not for the number of times a piece of music is played. The amount Netflix pays to use a song in one of its productions can vary greatly depending on a number of factors. These factors include the popularity of the song, the specific use of the song in the production, and the negotiation skills of the parties involved.
One of the main reasons for Netflix’s popularity is ease of use. With a simple interface, users can easily find the content they are interested in and start browsing right away. In addition, Netflix provides recommendations based on the content they watch, which helps users find new series and movies that will interest them.
Another important reason is the wide choice of content. Netflix offers a huge number of series and films of different genres, as well as a large music library.
In general, the cost of licensing a popular song for use in film or television can be quite high. For example, a license to a well-known song by a major artist can cost hundreds of thousands of dollars for a single use in a movie or TV show. However, the cost of licensing a lesser-known song or a song by a lesser-known artist can be significantly lower.
The specific use of a song in a production can also affect licensing costs. For example, a song that features prominently in a movie or TV show is likely to cost more to license than a song that is only used in one or two scenes. In addition, the length of time a song is used in a production can also affect the cost of licensing, with longer use usually being more expensive.
In the case of Netflix, the streaming giant is known to have lucrative licensing deals for the music used in their productions. The company has reportedly been able to reduce licensing costs by entering into wholesale deals with rights holders for multiple productions rather than paying for each production individually.
On top of that, Netflix also uses their own library of music that they have built by working with independent artists, so they can use the music at no additional cost.
It is worth noting that the cost of licensing a song for use in a production may also vary depending on the country or region in which the work will be distributed. For example, the cost of licensing a song for use in a production that will be distributed only in the United States may be different from the cost of licensing the same song for use in a production that will be distributed internationally.
In conclusion, the amount Netflix pays for the use of a song in one of their productions can vary greatly depending on a number of factors, including the popularity of the song, the specific use of the song in the production, and the negotiation skills of the parties involved. However, Netflix can secure lower licensing costs by entering into wholesale deals with rights holders for multiple products rather than paying for each product individually. In any case, the Netflix platform can be used to generate passive income.
