Netflix could be planning ‘always-on’ live TV channels

In a bid to revitalize viewer interest amid indications of declining engagement, Netflix is reportedly investigating the possibility of introducing always-on live TV channels. As reported by The Wall Street Journal, this initiative would allow subscribers to access continuously streaming content, providing them with a 24/7 entertainment option. Instead of focusing solely on binge-worthy series like "Avatar: The Last Airbender" or the latest thriller "I Will Find You," users could simply tune into a live channel for hours of background entertainment. This strategic move would place Netflix in closer competition with free, ad-supported streaming platforms such as Pluto TV and Tubi. Moreover, such a development could significantly enhance Netflix's advertising revenue, as live programming traditionally limits viewers' ability to skip commercials. The Wall Street Journal also highlighted that Netflix is considering partnerships for bundled services, similar to what companies like Apple and Amazon offer. Peacock has emerged as a potential collaborator in these discussions. This exploration of live channels is part of a broader strategy to enhance viewer engagement. Recently, Netflix has trialed various formats, including short-form videos, video podcasts, and a new gaming application aimed at children to attract more viewers. Concerns regarding audience retention have escalated, particularly regarding drops in viewership between the first and second seasons of many original shows, raising doubts about the platform's capability to maintain long-term hits. Additionally, Netflix's share of overall TV viewing has decreased. Nielsen data from April indicated that the streaming service represented only 7.8% of total TV viewing. Recent reports from Variety have also suggested that Netflix is in negotiations to acquire Letterboxd, a widely-used social platform for film enthusiasts.