Netflix CEO Reed Hastings has suggested the Internet entertainment streaming service will benefit from the growth of 4K/Ultra-HD television.
Speaking during Netflix’s Q2 2015 Results Earnings Call, Hastings noted that with the service’s top plan – the Ultra-HD four-stream plan – there were two drivers. “There’s people who have big families and want to watch more than two different screens at a time; and then the driver that we’re really optimistic on is Ultra-HD. So as more and more Ultra-HD TVs gets sold at major electronics outlets over the next five years, more and more people will want Ultra-HD,” he said.
“Each stream is about 15 megabits per second. So it takes a good quality Internet connection. Of course that’s getting more and more reliable. So when we see those coming together, we see over time a significant percentage of our membership upgrading to get the Ultra-HD service again over the next couple of years.”