Netflix positioned itself as a logical alternative to movie rentals

Netflix, explained

From offering an internet-based, mail-order Blockbuster alternative to its eventual status as a market leader in streaming entertainment, Netflix has led nearly every major paradigm shift in the television and movie business since its inception.

Netflix started in 1997 as a mail-order DVD rental service

The first Netflix customers selected DVDs from the company’s website and received and returned them through regular mail. The approach included no late fees and quickly added the ability to rent an unlimited number of DVDs for a flat monthly fee, with the company passing 1 million subscribers in 2003.

Netflix profits when you're not watching, and its movies are designed that way—read a detail-rich critical essay exposing lesser-known Netflix takes

How Netflix changed TV

In April 2017, Netflix reached 100 million subscribers worldwide—a figure that hit 300 million by 2025. With 50 million in the US alone, it has revolutionized the way people consume entertainment. Newsweek takes a look into the company's history and how it became the dominant force in entertainment.

A 2002 profile of unprofitable Netflix as it bet on a subscription model

The streaming behemoth saw the potential in subscriptions early, and in this 2002 profile CEO Reed Hastings was already talking about plans to offer "downloadable" movies. The profile serves as a historical artifact confirming the startup's risky bets and showcases the contingent factors that led to its success. (Some users may experience a paywall.)

Netflix's original movies are intended to be in the background

Netflix's original content follows "taste clusters," those wildly specific tags for content, like "cerebral Southwestern murder mystery." The low-budget films and shows designed for these genre buckets are written with abundant exposition to remind casual viewers where they are in the story.

Contrary to popular belief, Netflix didn't kill Blockbuster

Blockbuster was definitely the loser in its years-long battle with Netflix, but the conventional wisdom that the streaming giant killed the established video store chain is incorrect. Blockbuster’s large debt load—and an activist shareholder who didn’t fully appreciate the threat Netflix posed—led the chain to squander its advantages.

HBO inspired Netflix and vice versa

Netflix’s pivot towards original, prestige content would not have been possible if HBO had not blazed that trail decades earlier. Ironically, HBO later used Netflix as a business model when reinventing itself as a streaming app.

Netflix is the dominant streaming service

As of 2025, Netflix had amassed more than 300 million subscribers globally and saw quarterly revenue over $11B.

Amazon is both a vendor for Netflix, via its cloud-computing arm, and its rival

Amazon's Prime Video is a subscription streaming service that includes a variety of original shows and movies for free with a paid Prime membership. This Rotten Tomatoes ranking details 100 of the best Prime Video shows available to watch, including the dramas “Fleabag” and “The Boys.”

Netflix's recommendation algorithm was born from a $1M competition

In 2006, Netflix launched an open competition for data science teams to develop approaches to outperform its recommendation algorithm. Three years later, the prize was awarded after a group of competitors merged, developing a solution that beat Netflix's internal algorithm by more than 10%. Today, recommendations are based on what users watch, particularly via bingeing.

The streamer no longer just offers TV and movies

As a means of keeping existing subscribers engaged, and to add new users on the margins, the streaming service began releasing its own original video games. Many are based on existing Netflix titles and franchises. See their current offerings here.

Netflix is leaning into low-cost reality programming

The streamer now produces far fewer scripted shows than it did in the past. Instead, it's focused more on low-cost, unscripted reality programming.

How ‘Napoleon Dynamite’ rewrote the indie movie marketing playbook

"Napoleon Dynamite" was a phenomenon when it was released in 2004, but the excitement around the film was the result of a carefully executed, outside-the-box PR strategy that featured free screenings, endless merch, and an early form of stan-centric social media. This deep dive into the film’s inventive marketing tactics explain how a film with a modest budget was able to become a cultural sensation.

Netflix's 'KPop Demon Hunters' is the streamer's most-watched original movie

The 2025 film, which combines K-pop music and Korean mythology, became a big hit on the streaming platform. It was equally successful in its limited theatrical release, shooting to the top of the box office rankings.

How Netflix's sound logo 'Tudum' was designed as a key sonic differentiator

The Netflix sound logo—called by the company "Tudum!"—debuted in 2015 and has become one of the world's most iconic sound symbols, designed to provoke anticipation. An immense amount of creative work went into designing this three-second sonic marker, which is heard daily worldwide by millions. Key players in its existence weigh in on its creation in this absorbing episode.

Movie trailers used to air after the film, hence why they’re called ‘trailers’

These in-theatre advertisements used to “trail” the movie rather than precede it. The first movie trailer shown at the movies dates back to 1913, when marketer Nils Granlund put together rehearsal footage of an upcoming Broadway musical to drive ticket sales.

Reimagining YouTube as cable TV, complete with channel-surfing

The site streams YouTube content as if it were broadcast television, providing the ability to flip through channels and enter videos mid-stream, and you also can't easily skip ahead. The product is designed in part to bring back serendipity to video discovery.

At CES 1996, Panasonic unveiled the first DVD player to the public

This demo disc from Panasonic’s 1996 CES reveal showed audiences how DVDs offered sharper video, interactive menus, and greater storage—introducing a new era in home entertainment.

BNPL has 19th-century roots, but the pandemic made it mainstream

The modern BNPL model didn't take off until the COVID-19 pandemic, when consumers were stuck at home and lockdowns forced them to shop online rather than in person. The number of US BNPL loans grew more than tenfold from 2019 (16.8 million) to 2021 (180 million), according to a Consumer Financial Protection Bureau report.

'Ted Lasso' began as a series of promotional videos

The series debuted on Apple TV+ in 2020, but it began in 2013 as a series of short comedy sketches created to promote NBC Sports' broadcasts of Premier League soccer matches.

Sears once tried to become a tech company

In 1984, Sears arguably created one of the first online retail services, called “Prodigy,” in 1984 alongside IBM and CBS. But it was more of a WeChat than an Amazon, offering a variety of other services to users a few years before the dot com era.

The best advertisements of all time

This list includes the spots (like Nike’s “Just Do It” campaign and Snickers’ Betty White cameo) that transcended advertising and became genuine pop culture sensations.

Airbnb started as a vacation rental startup and soon disrupted the hospitality industry

In this podcast episode, Airbnb gets the "How I Built This" treatment. The "How I Built This" host speaks with the entrepreneurs behind today's largest businesses about how they got started. In this episode, Airbnb's cofounder Joe Gebbia talks about how he built Airbnb.

A technological breakthrough altered how Billboard determined what was popular

Before 1991, retail stores manually reported sales to Billboard, which then used those figures as part of its calculations for its weekly charts. In 1991, the magazine began using Nielsen SoundScan, a technology that tracked every unit sold in participating stores, providing a more accurate picture of what consumers were actually buying.

The distributor behind 'Rocky Horror' pulled the film from its scheduled national release, believing it would be a failure, though it eventually amassed a dedicated fanbase through midnight showings, a trend that continues over 50 years later.

The payments tool Zelle was created by big banks to compete with apps like Venmo

Zelle is an alternative to Venmo, where people can pay each other back for expenses like apartment utilities or dinner. But its origin story has more to do with big finance than small transactions.

A vending machine run with Anthropic's AI went out of business after it was convinced to give away items for free and sell a video game console.

How Amazon operates a 'flywheel' business model, a self-reinforcing cycle that drives continuous growth

Fast-casual restaurant Chili's is experiencing a resurgence, with its parent company recently reporting a nearly 32% increase in sales, thanks to passionate Gen Z fans on TikTok.

Walt Disney's early film 'Alice's Wonderland' was a groundbreaking innovation in the silent film era

The most expensive ad of all time was for Chanel No. 5 perfume and cost roughly $33M to produce in 2004—about $57M in today's dollars.

Domino's Pizza's 30-minute delivery guarantee was responsible for the chain's 1980s surge, but it was discontinued after the company was found liable for delivery driver accidents.

Children are now three times more likely to say they want to be a YouTuber when they grow up than an astronaut, with some even attending 'YouTube camps' that teach kids how to create content for the platform.

Sony set the standard for cylinder-shaped batteries when it repurposed manufacturing equipment used to make rolls of magnetic recording tape.

'Shogun,' a 1980s TV series, helped popularize sushi in the US by stimulating an American interest in Japanese culture.

Hear about the 250-year history of the United States Postal Service, complete with some of its strangest deliveries, important innovations, and the figures that made it an American institution.

Watch this video that uses Lego bricks to explain how venture capital works.

The Nasdaq's 'Magnificent 7' companies are responsible for roughly 40% of the Nasdaq 100 index's gains, while the remaining 93 companies account for the other 60%.

While the first exchange-traded fund (a 'basket' of different assets that can be bought and sold on a stock exchange) in the US only launched in 1993, the global ETF market has grown to more than $10T in the short time since.

Massive 3D printers have been used to build homes by stacking layers of 'concrete toothpaste,' a fire-resistant material that effectively insulates against outside noise.

Comedy legend Catherine O'Hara, star of 'Schitt's Creek' and 'Home Alone,' quit 'Saturday Night Live' after just one week to return to her old job.

In 2025, four executives from large tech companies were given positions in the US Army Reserves—including Palantir Chief Technology Officer Shyam Sankar, which reinforced Palantir's ties with the US military and its role as a leading defense partner.

Long before Major League Baseball began allowing instant replay for balls and strikes, an umpire reluctantly used the technology to determine whether a hit was a home run, a move that inadvertently ushered in a new era for the sport.

El Niño, Spanish for 'the boy,' was named after Jesus Christ because the phenomenon resembled the weather changes observed around Christmastime.

Hotels in Cannes, the glamorous city on the French Riviera, hire hawks to ward off seagulls during the city's famous film festival.

Visualize how CRISPR-Cas9—a type of immune system used by single-celled organisms to attack invasive viruses—targets and makes precise changes to a gene's DNA.

After the Boston Tea Party, colonists switched to coffee, which became the main morning drink for revolutionaries.

Some researchers have labeled nomophobia, the fear of being without your phone, as 'the phobia of the 21st century.'

A pickleball's loud 'pop' sound can reach 120 decibels, which is equivalent to a hammer hitting a nail