Netflix moves to control cloud computing cost with AWS 

As part of its ongoing cost-cutting efforts, Netflix is reportedly pushing to better control rising cloud computing spending with longtime cloud partner Amazon Web Services (AWS).

Netflix’s unexpected collaboration with Microsoft to launch its ad-supported plan later this year could provide a replacement for AWS in the future. This, however, may jeopardize the relationship between Netflix, its longtime partner AWS, and its new partner Microsoft, which owns Azure, its own cloud storage company.

In addition to cost-cutting measures, Netflix wants to hire more junior employees, reduce its real estate presence, limit corporate swag, minimize the number of copies of data and content it stores, and even limit the number of branded items employees can order, such as coffee mugs, sweatshirts, and baby goods.

Netflix, which is struggling with subscriber losses and growing competition from companies such as Walt Disney Co. and Apple Inc., lost 970,000 subscribers and laid off 300 employees in the June quarter, about 4 per cent of its workforce this year. Not surprisingly, Netflix is trying to limit growth as it aims to increase its subscriber base to 500 million global customers over the next three years.

The sources for this piece include an article in Reuters.

IT World Canada Staff
IT World Canada Staff
The online resource for Canadian Information Technology professionals.

Would you recommend this article?


Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.

Jim Love, Chief Content Officer, IT World Canada

Featured Download

ITW in your inbox

Our experienced team of journalists and bloggers bring you engaging in-depth interviews, videos and content targeted to IT professionals and line-of-business executives.

More Best of The Web