Netflix Inc (NFLX) 2016 Q1 法說會逐字稿

Welcome to the Netflix Q1 2016 earnings call. I'm David Wells, CFO. I'm joined today by Reed Hastings, CEO, and Ted Sarandos, Chief Content Officer.

歡迎參加 Netflix 2016 年第一季財報電話會議。我是財務長大衛威爾斯。今天，執行長里德·黑斯廷斯 (Reed Hastings) 和首席內容官特德·薩蘭多斯 (Ted Sarandos) 也加入了我的行列。

Interviewing us today will once again be Ben Swinburne from Morgan Stanley and Peter Kafka from Re/code. Just a warning before we begin that we will be making forward-looking statements. Actual results may vary.

今天採訪我們的將是摩根士丹利的 Ben Swinburne 和 Re/code 的 Peter Kafka。在我們開始之前只是警告我們將做出前瞻性陳述。實際結果可能有所不同。

I think, Ben, you have the first question, so over to you.

我想，本，你提出了第一個問題，所以該由你來回答了。

Thank you. Reed, maybe you can start out by just reflecting on the quarterly results you guys just delivered relative to your expectations. And maybe you could start out, in the new markets you launched at the beginning of the year, and how those performed relative to your expectations.

謝謝。里德，也許您可以先反思您剛剛交付的季度業績與您的預期相關的情況。也許你可以從年初推出的新市場開始，看看這些市場的表現與你的預期相比如何。

Sure. We were incredibly excited to grow to over 81 million subscribers. It's an enormous quarter for us that way. Some of it was from our expansion around the world. It's 130 countries, so there's quite a bit of variety.

當然。我們非常高興訂閱者數量成長到超過 8,100 萬。這對我們來說是一個巨大的季度。其中一些來自我們在世界各地的擴張。有 130 個國家/地區，因此種類繁多。

And remember that most of those countries we haven't yet seen the full potential of because we're only in English and only with international credit cards. So over the next couple years as we further localize, we'll be able to see more opportunity. But by going so broad, we've increased our rate of learning and so we're really excited about the approach and looking forward to the rest of the year.

請記住，我們還沒有看到其中大多數國家的全部潛力，因為我們只有英語，而且只有國際信用卡。因此，在接下來的幾年裡，隨著我們進一步在地化，我們將能夠看到更多機會。但透過如此廣泛的研究，我們提高了學習速度，因此我們對這種方法感到非常興奮，並期待今年剩下的時間。

And how did you feel the US markets behaved this quarter versus your expectations? You had noted in the letter a lot of strength from the originals that came in ahead of expectations, I'm guessing that's on gross connects. But how did the originals perform even relative to what I'm sure were your fairly bullish expectations in the US market?

您認為本季美國市場的表現與您的預期相比如何？你在信中註意到原作的許多優點超出了預期，我猜這是在總連接上。但是，即使相對於我確信您對美國市場相當樂觀的預期而言，原版的表現又如何呢？

In the US market, we did about 2.25 million net adds which is nearly identical not only to last year but to the year before. So what you see is this continued growth, and we're thrilled to keep that growth steady at between 5 million and 6 million net additions, and the content just keeps improving, and that keeps the word of mouth growing. So we're very excited about that formula and what we saw in Q1.

在美國市場，我們淨增加了約 225 萬輛，這不僅與去年而且與前年幾乎相同。所以你看到的是這種持續的增長，我們很高興能夠將這種增長穩定在 500 萬到 600 萬的淨添加量之間，並且內容不斷改進，這使得口碑不斷增長。因此，我們對這個公式以及我們在第一季看到的情況感到非常興奮。

Reed, you guys have been watching a Amazon for a long time. You compete with them at least on content for quite some time. Four years ago, you predicted they'd come out with a standalone service priced under yours. They announced that yesterday.

里德，你們關注亞馬遜已經很久了。你至少在內容上與他們競爭相當長一段時間。四年前，您預測他們會推出價格低於您的獨立服務。他們昨天宣布了這一點。

What's your view of them now? In particular, with the a announcement they made yesterday, do you think they're trying to compete head to head with you for subscriber dollars, or are they trying to underscore the value of Prime overall?

現在你對他們有何看法？特別是，他們昨天發布的公告，你認為他們是在試圖與你爭奪訂戶費用，還是試圖強調 Prime 的整體價值？

Hulu is doing some great work. Amazon is, HBO, Showtime. There are so many competitors, and everyone is working hard to build the best content. And so we're seeing growth in the overall Internet TV market. Of course, that's displacing linear TV, and it's natural that everybody is coming in as they realize that the future is internet TV.

Hulu 正在做一些很棒的工作。亞馬遜、HBO、Showtime。競爭對手非常多，每個人都在努力打造最好的內容。因此，我們看到整個網路電視市場的成長。當然，這正在取代線性電視，每個人都自然而然地加入進來，因為他們意識到未來是網路電視。

In terms of our shows, we're very excited about what we're doing. Not only are we expanding the number of original series we're doing, but we're also expanding into original movies. So again, this is all part of the natural evolution from linear TV to internet TV.

就我們的節目而言，我們對我們正在做的事情感到非常興奮。我們不僅擴大了原創系列的數量，而且還擴展到原創電影。再說一次，這都是從線性電視到網路電視自然演變的一部分。

Amazon has been talking with programmers for a while about adding linear channels. So you're looking at a scenario where they might have an offering that's similar to yours for the OnDemand stuff and the mix originals and older movies and TV shows, plus current content live. What does that look like to you in terms of the prospects of competing against that head to head?

亞馬遜已經與程式設計師就添加線性通道進行了一段時間的討論。因此，您正在考慮這樣一種情況，他們可能提供與您的點播內容類似的產品以及混合原創內容和舊電影和電視節目，以及當前的直播內容。在你看來，與它正面競爭的前景如何？

We're very focused on global competition. Obviously, around the world it's very fast growing for us. We're coming towards 50/50 international, domestic revenue. And so we're focused on content that we can have around the world, which is why we're investing in original movies, original series, so that we can have that content. And also producing around the world like our French series Marseilles, or Spanish in Narcos, and that's very different from carrying other people's single nation networks. So that's just a very different business, it's not one we focus on a lot. We know what we want to be, which is a great global producer and distributor of content and other people will do other things. And that's fine, they may be very successful.

我們非常關注全球競爭。顯然，在世界各地，我們的成長速度非常快。我們即將實現國際、國內收入 50/50 的目標。因此，我們專注於我們可以在世界各地擁有的內容，這就是我們投資原創電影、原創劇集的原因，這樣我們就可以擁有這些內容。並且還在世界各地製作，例如我們的法國系列《馬賽》或西班牙系列《毒梟》，這與承載其他人的單一國家網絡有很大不同。所以這只是一項非常不同的業務，不是我們重點關注的業務。我們知道我們想成為什麼，即成為一個偉大的全球內容生產商和發行商，其他人會做其他事情。沒關係，他們可能會非常成功。

Let me throw a question out for David and/or Ted about thinking about the second-quarter guidance internationally. There's a lot to chew on there. The number you laid out is probably below where most people were expecting.

讓我向大衛和/或泰德提出一個關於考慮第二季度國際指導的問題。那裡有很多東西值得咀嚼。您列出的數字可能低於大多數人的預期。

I'm wondering if you could talk, David, about how you thought through putting the second-quarter guide together around seasonality, some of the comp issues you talked about in the letter, and whether we're seeing more -- a more earlier than expected level of seasonality in some of these markets that are still one or two years old?

大衛，我想知道你是否可以談談你是如何考慮將第二季度指南圍繞季節性、你在信中談到的一些補償問題以及我們是否會看到更多 - 更早其中一些市場的季節性水準是否超出了預期，而這些市場仍存在一兩年？

And, Ted, there's a narrative out of Europe in particular that the incumbents are teaming up against you from a consent perspective, and you've got a lot of stuff coming down the pike on originals. So if you can talk about your relationship with suppliers overseas, since that's probably an area people have spent less time thinking through.

而且，特德，歐洲有一種說法，特別是現任者正在從同意的角度聯合起來反對你，而且你在原創方面有很多東西。因此，如果您可以談論您與海外供應商的關係，因為這可能是人們花較少時間思考的領域。

I'll let David kick it off there or actually go first.

我會讓大衛從那裡開始，或者實際上先走。

So, Ben, in terms of thinking about the guide. Just a reminder of that we put in the letter that absent the strong performance that we saw last year from a very recently launched Australia New Zealand market, our guide would have been up. So I think you haven't yet seen a normalized pattern of growth from us in terms of a year-on-year growth expectation across our international markets, because we've been layering on new markets as we go.

所以，Ben，就指南的思考而言。只是提醒我們，如果沒有去年最近推出的澳洲紐西蘭市場的強勁表現，我們的指導將會上升。因此，我認為就國際市場的年成長預期而言，您還沒有看到我們的正常化成長模式，因為我們一直在開拓新市場。

So I think from our perspective, we were super happy with the results of Q1. And we wanted in Q2 that to continue, and it is. But we're mindful of the fact that we've got these large blooms of launches last year and then in Q1 this year with the rest of world markets, the Netflix global launch, that are going to continue forward because they're addressing pent-up demand.

所以我認為從我們的角度來看，我們對第一季的結果非常滿意。我們希望在第二季度繼續這種情況，而且確實如此。但我們注意到這樣一個事實，即我們去年和今年第一季與世界其他市場一起推出了大量的產品，Netflix 的全球發布將繼續向前發展，因為它們正在解決尚未解決的問題。向上的需求。

So for us, we're focused on continued growth in those markets and that's what we're seeing. And we're focused on continued improvement from an economic sense of reducing those losses. This year, you're seeing us continue to invest but the US is growing, so overall, operating profit is improving as we go and into next year.

因此，對我們來說，我們專注於這些市場的持續成長，而這就是我們所看到的。我們專注於從減少這些損失的經濟意義上持續改善。今年，您會看到我們繼續投資，但美國正在成長，因此總體而言，隨著我們進入明年，營業利潤正在改善。

Can I just say, the reaction from the broadcasters and across Europe is not different than it's been anywhere else. There's always uncertainty when we come to the new market, what role we're going to play, how complementary we're going to be versus competitive. I think everyone likes to weigh all their options in terms of their competitive strength.

我只能說，廣播公司和整個歐洲的反應與其他地方沒有什麼不同。當我們進入新市場時，我們將扮演什麼角色，我們將如何互補與競爭，總是存在不確定性。我認為每個人都喜歡根據自己的競爭實力來權衡自己的所有選擇。

We're buying a lot of pan European rights as part of our global acquisitions, which I think probably makes them a bit nervous too while they're trying to figure out what their next moves will be. But again, I don't think it's that unusual. Even here in the US where three of our largest suppliers teamed up to create Hulu with probably much of the same motivation.

作為我們全球收購的一部分，我們正在購買大量泛歐洲版權，我認為這可能會讓他們在試圖弄清楚下一步時也有點緊張。但話又說回來，我不認為這有什麼不尋常。即使在美國，我們最大的三個供應商也出於同樣的動機聯手創建了 Hulu。

And just as a follow up, there's, I don't think, been any mention of VPN changes in the letter, but that obviously has happened. Is that impacting at all the second-quarter guidance at all?

作為後續行動，我認為信中沒有提到 VPN 的變化，但這顯然已經發生了。這會對第二季的指導產生影響嗎？

No, all that change was in the first quarter. It's a very small but quite vocal minority. So it's really inconsequential to us as you could see in the Q1 results.

不，所有變化都發生在第一季。這是一個很小但相當有發言權的少數群體。因此，正如您在第一季的結果中看到的那樣，這對我們來說確實無關緊要。

The only thing I'd add to that, Ben, is we were able to grow. In the first quarter, we had a very strong US growth. At the same time, we had a very robust Netflix global launch. So I think it validates the fact that we're seeing new demand for Netflix in those markets.

本，我唯一要補充的是我們能夠成長。第一季度，我們在美國的成長非常強勁。同時，我們在 Netflix 上的全球發布也非常強勁。因此，我認為這證實了這樣一個事實：我們在這些市場上看到了對 Netflix 的新需求。

Sure. This is for Reed. You keep getting asked this, but I want to keep asking because the question keeps coming up. Any interest in live sports in any capacity?

當然。這是給里德的。不斷有人問你這個問題，但我想繼續問，因為這個問題不斷出現。對任何身分的現場體育賽事有興趣嗎？

Any interest in what?

對什麼有興趣？

Live sports.

體育直播。

Live sports. Ted, I'll let you handle that question. It worked so well for us last time.

體育直播。特德，我會讓你來解決這個問題。上次對我們來說效果很好。

There's no interest in live sports currently.

目前對體育賽事直播沒有興趣。

Currently. And what about live in general? There's a lot of interest, Twitter, YouTube, Facebook in particular, and the idea of broadcasting live video over the internet.

現在。那麼一般生活又如何呢？人們很感興趣，尤其是 Twitter、YouTube、Facebook，以及透過網路直播影片的想法。

You guys have tweaked your model a little bit or will be tweaking a bit with Chelsea Handler where you're going to move away from the dumping out all the stuff at one go and staggering it. So if you don't plan to do live now, why not consider it down the pike?

你們已經對模型進行了一些調整，或者將與切爾西·漢德勒一起進行一些調整，你們將不再一次性傾倒所有東西並使其變得混亂。因此，如果您現在不打算進行現場直播，為什麼不考慮一下呢？

So just to correct you, we have never dumped anything. We have given it a proper platform with all of the great content that it deserves.

所以糾正一下，我們從未傾倒過任何東西。我們為它提供了一個合適的平台，提供了它應得的所有精彩內容。

Full release.

全面釋放。

So Chelsea is near live, in that we're going to be putting it up to our subscribers just a couple hours after it's recorded live in front of an audience. There's not a technological reason we wouldn't want to go to live.

切爾西即將上線，我們將在觀眾面前現場錄製幾個小時後將其發布給我們的訂閱者。我們沒有理由不想去生活。

But you should think about our brand proposition as very much about OnDemand. So to the extent that watching OnDemand is better than watching live would bring a ton of value to it. And other people doing live, I think it's great. It's about the further expansion of internet television to include live. We don't have to do everything to be part of that expansion.

但您應該像考慮 OnDemand 一樣考慮我們的品牌主張。因此，如果觀看點播比觀看直播更好的話，就會帶來巨大的價值。還有其他人在現場表演，我認為這很棒。這是關於網路電視的進一步擴展，包括直播。我們不必竭盡全力成為擴張的一部分。

And rather than invest in things like live sports, we're investing in things like The Crown, which is just an epic production and maybe you could talk a little bit about that, Ted.

我們不是投資體育直播之類的東西，而是投資《王冠》這樣的東西，這只是一部史詩般的作品，也許你可以談談這一點，泰德。

It's being shot right now in the UK. We've previewed some footage of it to the European press last week. They just loved it. It's a massive cast, a massive production that will tell the life of Queen Elizabeth starring Claire Foy as the Queen, and will follow her life through her relationships with the Prime Ministers all the way through to current times. So it's those kind of things that we think are massively global that we could produce on a larger scale than anybody else that we really think we can win the day on.

目前正在英國拍攝。上週我們已經向歐洲媒體預覽了一些片段。他們只是喜歡它。這是一部龐大的演員陣容和龐大的製作，將講述伊麗莎白女王的生活，由克萊爾·福伊飾演女王，並將透過她與首相的關係追蹤到當今時代。因此，我們認為我們可以比其他任何人都更大規模地生產那些具有全球性的東西，我們真正認為我們可以贏得勝利。

David, coming back to the second-quarter guidance again, but on the US market. Why did you decide to delay or spread the ungrandfatherring through the remainder of the year?

大衛，再次回到第二季度的指導，但在美國市場。您為什麼決定推遲或將「不祖父」政策推遲到今年剩餘時間？

You mentioned you don't expect much of an impact, but you've decided to spread it out. Maybe you could walk us through what you've learned in your testing so far and the thought process around that.

您提到您預計不會產生太大影響，但您決定將其分散開來。也許您可以向我們介紹一下您迄今為止在測試中學到的知識以及圍繞此的思考過程。

I think we've always been a testing Company. So perhaps there should have been an expectation that this would be a gradual thing in terms of layering that out. We've got a number of markets that are coming off on grandfathering, not just the US, and some of those are timed three to four months as we go.

我認為我們一直是一家測試公司。因此，也許應該預期這將是一個漸進的事情。我們有很多市場都在享受祖父待遇，而不僅僅是美國，其中一些市場的時間是三到四個月。

So I think it's just about messaging it. It was important to us to make sure that subscribers knew that this was happening and to put it in front of them and that's what we're going to do, and we want to do that -- do right by the consumer and do right by Netflix as we go. So I think we're just taking our time to do that.

所以我認為這只是傳遞訊息而已。對我們來說，重要的是要確保訂閱者知道這種情況正在發生，並將其擺在他們面前，這就是我們要做的，我們想要這樣做——為消費者做正確的事，為消費者做對的事Netflix 一路走來。所以我認為我們只是花時間去做這件事。

And, Ted, what are you seeing on terms of the efficiency of your spend as you continue to build on originals? And I'm curious, you've had more data points around film results, have more coming up. How the are the films performing relative to your expectations, and relative maybe to the spending on TV series?

而且，Ted，當您繼續在原創作品的基礎上進行開發時，您對支出效率有何看法？我很好奇，你們已經有更多關於電影結果的數據點，還會有更多數據點。相對於您的期望以及相對於電視劇的支出而言，電影的表現如何？

The efficiencies are a little hard to match, because you've got a couple hours of viewing versus 10 to 13 hours of viewing on a series. But relative to how we license other movies, we've been pretty happy with the direction that it's going.

效率有點難以匹配，因為您只需要幾個小時的觀看時間，而觀看連續劇則需要 10 到 13 個小時。但相對於我們授權其他電影的方式，我們對它的發展方向感到非常滿意。

Remember, we have a few films under our belt. What I'm really looking at is how broadly people engage with them, how do they play around the world. All of those data points have been really positive. And as we keep going, I think that that content can be as efficient as a series relative to other films. We're still learning as we go though.

請記住，我們已經拍攝了幾部電影。我真正關注的是人們與他們的互動有多廣泛，他們在世界各地的表現如何。所有這些數據點都是非常積極的。隨著我們繼續前進，我認為相對於其他電影，這些內容可以像系列電影一樣有效率。儘管如此，我們仍在不斷學習。

Thank you.

謝謝。

Can you guys talk about your M&A strategy? Are you looking at Paramount which may be partly for sale; what about Starz which is unofficially for sale? If you don't want to comment on those in particular, what are you thinking about as you consider large acquisitions?

可以談談你們的併購策略嗎？您是否正在尋找可能部分出售的派拉蒙？非正式發售的 Starz 怎麼樣？如果您不想特別評論這些，那麼當您考慮大型收購時，您在考慮什麼？

It's been 15 years we've been public and 20 existing, and we've done no M&A. So I think that probably speaks for itself.

我們上市已經 15 年了，成立也有 20 年了，我們沒有進行任何併購。所以我認為這可能是不言而喻的。

And as you guys push into the studio film business, making your own movies, does it make sense to at least do a smaller acquisition that would help you get some of those competencies in house?

當你們進軍製片廠電影業務、製作自己的電影時，至少進行一次較小的收購來幫助你們獲得一些內部能力是否有意義？

Peter, what you're seeing not just on the films but also on several of our series where Netflix is increasingly the studio and the network on those shows, so we are building that efficiency in house. The Ranch that just premiered a few weeks ago is a Netflix produced show, and we'll be doing a lot more of those coming out. We're building it versus buying it.

Peter，您不僅在電影中看到了這一點，而且在我們的幾部連續劇中也看到了這一點，其中Netflix 越來越多地成為這些節目的工作室和網絡，因此我們正在內部建立這種效率。幾週前剛首播的《牧場》是 Netflix 製作的電視劇，我們將製作更多這樣的節目。我們正在建造它而不是購買它。

We'll just hire the people that we want and build it. That could in principal be a constraint on our rate of growth, but Ted's been able to attract an incredible team in LA. When you look at the growth in our originals, you can see that we can deliver on that on this organic hiring basis which of course is much stronger for the long term than if you tried to juice it with M&A.

我們只會僱用我們想要的人並建造它。這在原則上可能會限制我們的成長率，但泰德已經能夠在洛杉磯吸引一支令人難以置信的團隊。當你看到我們原創的成長時，你會發現我們可以在這種有機招募的基礎上實現這一點，當然，從長遠來看，這比你試圖透過併購來實現這一目標要強大得多。

Reed, can you talk a little about how investors and shareholders should look at various opportunities internationally? For example, Brazil's a market maybe at first blush wouldn't appear to be right for Netflix given low pay TV penetration, lower household income, lower broadband speeds, and yet you've described that as a rocket ship. You've done really well there.

Reed，您能談談投資者和股東應該如何看待國際上的各種機會嗎？例如，考慮到付費電視普及率較低、家庭收入較低、寬頻速度較低，巴西的市場乍看之下似乎不適合 Netflix，但您卻將其描述為一艘火箭飛船。你在那裡做得非常好。

And yet, maybe other more developed markets in Europe have been slower. What are the characteristics and things that are outside Netflix' control that drive success, and what are the things that you're doing that you maybe didn't do a year ago to make sure you capture the opportunity?

然而，歐洲其他較發達的市場的發展速度可能較慢。 Netflix 無法控制的推動成功的特徵和因素有哪些？為了確保抓住機會，您一年前可能沒有做的哪些事情正在做？

One of the major things I think is eCommerce and payment systems to the degree that there's a convenient way to pay for airline tickets, for example, online. That's really helpful. But we're continuing to work with all the different ISPs, phone billing solutions, other things, and will grow as the payment infrastructure or the eCommerce infrastructure grows.

我認為最重要的事情之一是電子商務和支付系統，可以提供一種便捷的方式來支付機票，例如線上支付。這真的很有幫助。但我們將繼續與所有不同的 ISP、電話計費解決方案和其他方面合作，並將隨著支付基礎設施或電子商務基礎設施的發展而發展。

So when you think about it in the long term, everybody around the world is going to be watching internet video. And we want to be well positioned so as all of these countries evolve towards internet video that we grow with them. In some cases that will be 10 years, 15 years, in other cases it will be in the next 2 or 3 years. But it's a long-term investment, and country by country it's worked out extremely well for us.

因此，從長遠來看，世界各地的每個人都將觀看網路影片。我們希望處於有利位置，以便隨著所有這些國家向網路影片發展，我們與他們一起成長。在某些情況下會是10年、15年，在其他情況下會是未來2年或3年。但這是一項長期投資，對我們來說，每個國家都取得了非常好的效果。

So that's why we're so invested in international expansion. We're very confident that in the long term, everybody is going to be watching TV shows and movies over the internet and we hope to be one of the leading brands for that around the world.

這就是我們如此投入國際擴張的原因。我們非常有信心，從長遠來看，每個人都會透過網路觀看電視節目和電影，我們希望成為全球領先的品牌之一。

And let me just ask you -- go ahead, David.

讓我問你——繼續吧，大衛。

The only thing I would at to that too and I think Reed would say is you can't anticipate everything. And I think five years ago when we were first launching the markets we thought maybe we could anticipate most things, but every time we've launched there's been one or two things that we haven't anticipated.

我對此唯一想說的是，我想里德會說，你無法預測一切。我認為五年前，當我們第一次推出市場時，我們認為也許我們可以預見大多數事情，但每次我們推出時，都會有一兩件事是我們沒有預料到的。

What we have gotten good at as a Company is fast learning and fast improvement. And so I think that gives us some confidence as well that as things come up, we'll be able to address them quickly.

作為一家公司，我們擅長的是快速學習和快速改進。所以我認為這也給了我們一些信心，當事情出現時，我們將能夠迅速解決它們。

And remember when you look at Facebook and YouTube, which are ad supported, but viewing and consumption is generally 80% international, 20% domestic. We've got a lot of international growth to go before we can aspire to that point.

請記住，當您查看 Facebook 和 YouTube 時，它們是由廣告支持的，但觀看和消費通常 80% 是國際性的，20% 是國內性的。在我們能夠實現這一目標之前，我們還有很多國際成長要做。

Let me just pick up on a question Peter asked earlier that talks about where Amazon is taking the bundle, and take it from the perspective of the incumbent MVPDs. You saw, I'm sure, Reed, that Dish built another Sling or is building another Sling offer, a low price point, IP delivered bundle of networks. DirecTV is going to have three, cheaper OTT launches later this year.

讓我從現任 MVPD 的角度來回答 Peter 之前提出的一個問題，該問題涉及亞馬遜將捆綁銷售的方向。我確信 Reed，您已經看到 Dish 構建了另一個 Sling 或正在構建另一個 Sling 產品，這是一個低價點、IP 交付的網路捆綁。 DirecTV 將在今年稍後推出三款更便宜的 OTT。

You're starting to see these things proliferate more. Does that change your competitive position as you think about this big pricing umbrella getting smaller over the next year plus and becoming more IP?

你開始看到這些東西越來越多。當您考慮這個大定價傘在明年變得更小並變得更加IP時，這是否會改變您的競爭地位？

No, those are all single nation solutions, and we're really focused on global content and expanding globally. So I don't see really that much nexus between them.

不，這些都是單一國家的解決方案，我們真正專注於全球內容和全球擴張。所以我並沒有看到他們之間有那麼大的連結。

Again, as we said in the letter, when you think about your own experience of what do you do some night if you're not watching Netflix? Once in a while it's cable television, once in a while it's video gaming, it's browsing Facebook, killing time on the web generally. There's so much out there.

再說一次，正如我們在信中所說，當你想想自己的經歷時，如果你不看 Netflix，你會在某個晚上做什麼？偶爾看有線電視，偶爾玩電子遊戲，瀏覽 Facebook，通常都是在網路上消磨時間。那裡有很多東西。

So the only inhibitor in our growth is how great is our service. Can we make it so there's never buffering so it always starts up instantly. So the recommendations are incredible, and that the content is exciting. And if we can do all that, we'll continue to grow globally even though HBO or Dish or others are also growing. So their growth doesn't take away from us.

因此，阻礙我們發展的唯一障礙是我們的服務有多出色。我們可以做到永遠不會緩衝，因此它總是立即啟動嗎？所以這些建議是令人難以置信的，而且內容也很令人興奮。如果我們能做到這一切，我們將繼續在全球範圍內成長，即使 HBO 或 Dish 或其他也在成長。所以他們的成長並不會帶走我們。

Thank you.

謝謝。

Reed, can you explain just for the record why you guys went ahead and reduced the quality of streams on certain wireless carriers, and how that's different than the complaints you lodged against people like Comcast in the last couple years?

里德，您能否解釋一下為什麼你們繼續降低某些無線運營商的串流媒體質量，以及這與過去幾年您對康卡斯特等公司提出的投訴有何不同？

Sure. Mobile generally has small data caps and very expensive per gigabyte charges like $10 to $20 per gigabyte supplemental. So we've wanted to save data for our users by using very tight and small encodes, especially when it's been watched on a four or five inch screen. And what we'll be adding going forward is an option so a consumer can set they want to do extreme data saving, moderate data saving or no data saving at all.

當然。行動裝置的數據上限通常較小，且每 GB 的費用非常昂貴，例如每 GB 補充費用為 10 至 20 美元。因此，我們希望透過使用非常緊湊和小的編碼來為用戶保存數據，尤其是在四到五英寸的螢幕上觀看時。我們今後將添加一個選項，以便消費者可以設定他們想要進行極端資料保存、適度資料保存或根本不保存資料。

And so we'll evolve to let the users just do it. But the advantage of doing it for people in the past was to save on -- to avoid those data plan overages that are pretty unique to mobile.

因此，我們將不斷發展，讓使用者自己做。但過去為人們這樣做的好處是節省費用，並避免行動裝置特有的數據計畫超額。

And that option you're describing where you can opt in what quality you want, is that a reaction to the stories that came out the last few weeks?

您所描述的可以選擇您想要的品質的選項是對過去幾週出現的故事的反應嗎？

No, we've added lots of options over time to allow more customization. If you look, we've had one on the wired side, we just hadn't implemented it yet or rolled it out on the mobile side. So it's always been planned.

不，隨著時間的推移，我們添加了許多選項以允許更多自訂。如果你看一下，我們已經在有線端有了一個，只是還沒有實現它或在行動端推出它。所以一直都是有計劃的。

Another regulatory question or FCC question. The open set top box proposal that President Obama has endorsed, if that goes through, what changes or options does that open up for you?

另一個監理問題或 FCC 問題。歐巴馬總統認可的開放式機上盒提案，如果獲得通過，會為您帶來哪些改變或選擇？

For us, the open set top is the Roku or the Apple TV or the SmartTV. It's a basic internet device that runs apps, and that's what we think the future is is that kind of broad openness. And we don't really follow very closely like the intricacies of the cable set top industry in the US, as opposed to these great global platforms that are IP centric like a Samsung SmartTV.

對我們來說，開放式機上盒是 Roku、Apple TV 或 SmartTV。它是一種運行應用程式的基本網路設備，我們認為未來就是這種廣泛的開放性。我們並沒有真正像美國有線電視機上盒產業那樣密切關注，而不是像三星智慧電視這樣以 IP 為中心的偉大全球平台。

So it's not meaningful to you if it goes through?

那如果通過了對你來說就沒有意義了？

I don't think so.

我不這麼認為。

Thanks.

謝謝。

Ted, I want to ask you a little about your relationship with your major suppliers. You, I'm sure, hear the rhetoric as we do growing out of Hollywood. Maybe start with Disney. How is that relationship today? They've obviously come under some pressure around ESPN and cord shaving.

特德，我想問你一些關於你與主要供應商的關係的問題。我相信，當我們從好萊塢成長時，你一定會聽到這樣的言論。也許從迪士尼開始。今天這種關係怎麼樣？顯然，他們在 ESPN 和剪線方面面臨一些壓力。

But is your relationship with Disney as strong as it's been? And should we expect that you may be able to expand your Marvel TV relationship in particular? And I'd love to hear any sense for how Daredevil season two is performing, and performed relative to the first season where that audience built.

但您與迪士尼的關係還像以前一樣牢固嗎？我們是否應該期望您能夠特別擴大與漫威電視的關係？我很想聽聽《夜魔俠》第二季的表現如何，以及相對於第一季的觀眾群表現如何。

Sure. These have always been relatively complex relationships where you are both supplier and sometimes competitor. So in the case of Disney, they're a major supplier and they're our producing partner where they produce our Marvel Defender series. We just kicked off our fifth season of production on this show. It's a very lucrative piece of business for Disney, obviously, and a great partnership in that way.

當然。這些關係一直相對複雜，您既是供應商，有時又是競爭對手。因此，就迪士尼而言，他們是我們的主要供應商，也是我們的製作合作夥伴，他們製作我們的《漫威衛士》系列。我們剛剛開始了這個節目的第五季製作。顯然，這對迪士尼來說是一項非常有利可圖的業務，而且在這方面也是一個很好的合作夥伴關係。

There's no way to isolate the two sets of businesses completely. So while they're a great producing partner, they're a great licensing supplier and we're always trying to figure out ways that we don't bump into one another competitively, but sometimes it's inevitable.

沒有辦法將這兩組業務完全隔離。因此，雖然他們是一位出色的製作合作夥伴，但他們也是一位出色的授權供應商，我們一直在努力尋找避免相互競爭的方法，但有時這是不可避免的。

Daredevil season two was fantastic. The critics loved it, the viewing numbers have really grown. We've added an enormous number of people to Daredevil season one, both because of the excitement around season two and that we're in additional territories now that didn't have the opportunity to see the show in the first go around. So it's been a real success, and we're really excited to be in business with them.

《夜魔俠》第二季非常棒。評論家很喜歡它，觀看人數確實增加了。我們在《夜魔俠》第一季中增加了大量的觀眾，一方面是因為第二季的精彩，另一方面是因為我們現在在更多地區，沒有機會在第一季觀看該劇。所以這是一次真正的成功，我們很高興與他們開展業務。

All of our suppliers either produce for us or license to us and probably compete with us on some level, and we're just always trying to navigate those waters. Very similar to the way networks deal with one another and produce for one another.

我們所有的供應商要么為我們生產，要么向我們授權，並且可能在某種程度上與我們競爭，而我們一直在努力駕馭這些領域。與網路相互處理和相互生產的方式非常相似。

Did the changes you're seeing out there impact the timing with which you may get to your 50/50 split of original spending and acquired? And you threw out in the letter 5% of your spending I think today is on films. How would you fit film spending inside of that 50/50 mix long term?

您所看到的變化是否會影響您將原始支出和收購支出以 50/50 比例分配的時間？你在信中拋出了我認為今天 5% 的支出用於電影。從長遠來看，您將如何在 50/50 的混合比例中調整電影支出？

Right now, we're trying to complement our film selection between aggressively ramping up our global originals with films that people want to see everywhere in the world, plus licensing where opportunistic. We've been doing pick-ups of films at film festivals, particularly ones that have broader commercial appeal. Like next month, we have a film called The Fundamentals of Caring with Paul Rudd that I think fans are going to really love when we launch that around the world.

目前，我們正在努力補充我們的電影選擇，積極增加我們的全球原創電影，提供人們希望在世界各地觀看的電影，並在機會主義的情況下進行許可。我們一直在電影節上挑選電影，特別是那些具有更廣泛商業吸引力的電影。就像下個月一樣，我們有一部名為《保羅路德的關懷基礎》的電影，我認為當我們在世界各地推出該電影時，粉絲們會非常喜歡。

Then regionally, we're also doing some opportunistic licensing. As you know, we pick up the Disney pay one output later this year. And we also just in this quarter we'll have the Minions, we'll have Goosebumps, we'll have Hotel Transylvania 2, and we'll have the film that won the Academy Award for best picture, Spotlight, exclusively on Netflix in the US.

然後在區域範圍內，我們也在進行一些機會主義許可。如您所知，我們將在今年稍後獲得迪士尼付費產出。我們也將在本季推出《小小兵》、《雞皮疙瘩》、《精靈旅社 2》，以及榮獲奧斯卡最佳影片獎的電影《聚光燈》，將在 Netflix 獨家播出美國。

So it will be hard to comp against those numbers as we're ramping up films, because we still have a great selection of other films as well. But we're going to keep pushing at it. There's no mandate or no initiative to how quickly we're going to get there, and success, we just want to keep pushing it forward.

因此，隨著我們增加電影數量，很難與這些數字進行比較，因為我們還有很多其他電影可供選擇。但我們將繼續努力。對於我們要多快達到目標和成功，沒有任何強製或主動行動，我們只是想繼續推動它前進。

Later this week, we'll be releasing the first trailer for The Do-Over, Adam Sandler's next film for us. The trailer is incredible. I think you're going to find that this is a movie that really delivers for the Adam Sandler fans extended.

本週晚些時候，我們將發布亞當桑德勒為我們拍攝的下一部電影《重來》的首部預告片。預告片令人難以置信。我想你會發現這是一部真正為亞當桑德勒粉絲帶來的電影。

That will be global, it's available globally as well in May.

這將是全球性的，五月也將在全球範圍內推出。

Reed, maybe, Ted, if I got on a plan I can download some of Amazon's -- I guess all of Amazon's original content, some of their studio stuff they've licensed and take it with me for off-line viewing. YouTube Red lets me do that. Why not offer that for some of all of your content?

里德，也許，泰德，如果我有一個計劃，我可以下載一些亞馬遜的內容——我想亞馬遜的所有原創內容，他們的一些工作室的東西，他們已經獲得許可，並隨身攜帶以供離線觀看。 YouTube Red 讓我可以做到這一點。為什麼不為您的所有內容中的某些內容提供這種服務呢？

We should keep an open mind on this. We've been so focused on click and watch and the beauty and simplicity of streaming. But as we expand around the world where we see an uneven set of networks, it's something we should keep an open mind about.

我們應該對此保持開放的態度。我們一直非常關注點擊和觀看以及串流媒體的美麗和簡單。但當我們在世界各地擴張時，我們看到網路不平衡，我們應該對此保持開放的態度。

This one's a little more future, off in the distance. But how long do you imagine before some combination of VR, AR, 360, any of the stuff you see people experimenting with on Facebook, YouTube, becomes relevant to what you do?

這個有點未來，在遙遠的地方。但是，您想像 VR、AR、360 度全景以及您在 Facebook、YouTube 上看到的人們嘗試的任何東西的某種組合需要多久才能與您的工作產生相關性？

I think it's mostly going to be an intense gaming format for a couple years, due to the price of the consoles. So think of it like the Playstation 5 or the XBox 2 or something. It's heritage to console gaming will be a lot of that market. And then everybody hopes that it matures into something that's lower cost and more ubiquitous.

我認為，由於遊戲機的價格，未來幾年它將成為一種激烈的遊戲形式。因此，可以將其想像為 Playstation 5 或 Xbox 2 之類的東西。它對主機遊戲的傳承將佔據該市場的大部分份額。然後每個人都希望它能夠成熟到成本更低、更普遍的東西。

So I don't think it will have a direct effect on us in the next couple years, because I think the centerpoint for VR will be other sorts of things than watching a TV show in a VR headset. I don't think that will be very popular.

所以我認為它不會在未來幾年對我們產生直接影響，因為我認為 VR 的中心點將是其他類型的事情，而不是用 VR 耳機觀看電視節目。我認為這不會很受歡迎。

Thanks.

謝謝。

David, turning to some of the financials, you gave some color for the year around contribution losses internationally. I think looking for something around $370 million for the year now, which is less than at least you had articulated and we had thought previously.

大衛，談到一些財務數據，您為這一年的國際捐款損失提供了一些色彩。我認為今年的目標是 3.7 億美元左右，這至少比您所說的和我們之前想到的要少。

What's driving that improvement? And it sounds like that's a focus for you as you head into next year. Maybe you could spend a little bit of time talking about what's moving the international losses lower and how that may trend into 2017.

是什麼推動了這種改進？聽起來這就是你進入明年的重點。也許您可以花一點時間討論是什麼導致國際損失下降以及 2017 年的趨勢如何。

Well it's nothing more than growing revenue faster than your content spend. So I think it's just the fact that we've got multiple markets now that are improving year on year in terms of growth and economics, and we stack them together and you've got a picture where collectively, they're covering any of the new markets that we could have launched this year. And then next year or the year after, depending on the size of that market, they could be covering them all.

嗯，無非就是收入成長速度快於內容支出。因此，我認為事實是，我們現在有多個市場，它們在成長和經濟方面逐年改善，我們將它們疊加在一起，你就會得到一幅圖景，它們共同涵蓋了任何一個領域。我們今年可以推出的新市場。然後明年或後年，根據市場的規模，他們可能會涵蓋所有這些。

I think we're giving ourselves a little bit of flexibility. Because the more of an opportunity we see, the more we may put back into the business in terms of additional investments in content. But we feel like today that we can do all of that and still grow operating profit, which is why we continue to make the statements about meaningful operating profit next year. But we feel like we can do both.

我認為我們給自己一點彈性。因為我們看到的機會越多，我們在內容上的額外投資就越多。但我們今天覺得我們可以做到所有這些，並且仍然可以增加營業利潤，這就是為什麼我們繼續發表有關明年有意義的營業利潤的聲明。但我們覺得我們可以兩者兼得。

So I don't think -- internally, there isn't a different plan. Perhaps versus expectations, people felt like there might be higher losses internationally. But it's been fairly consistent I'd say over the last three to six months.

所以我認為，在內部，沒有不同的計劃。也許與預期相反，人們認為國際上的損失可能會更大。但我想說，在過去的三到六個月裡，情況相當穩定。

Do you want to talk about the weakening of the dollar and how that affects us?

您想談談美元的疲軟及其對我們的影響嗎？

Sure. So we did highlight this in the letter, and you live by the currency, die by the currency in terms of the fluctuations. Last year, we had a lot of headwinds, especially on the international revenue line.

當然。所以我們在信中確實強調了這一點，你因貨幣而生，因貨幣的波動而死。去年，我們遇到了許多阻力，尤其是在國際收入方面。

We had to explain why our international average subscription price was flat in certain quarters when it still was growing. This year, we're seeing the reverse of that with the weakening of the dollar. At least in the first part of the year here, where international contribution margin is benefiting from that so we did highlight that for you in the letter. Thanks for pointing that out.

我們必須解釋為什麼我們的國際平均訂閱價格在某些季度持平，而其仍在成長。今年，隨著美元走弱，我們看到了相反的情況。至少在今年上半年，國際邊際貢獻率正從中受益，因此我們在信中向您強調了這一點。感謝您指出了這一點。

David, as a follow up, you're doing more and more global deals. Could you just remind us how you're allocating licensing costs, and whether that's having an impact on the quarterly movements in margin?

大衛，作為後續行動，您正在進行越來越多的全球交易。您能否提醒我們您如何分配授權成本，以及這是否對季度利潤變動產生影響？

You guys guided to I think a sequential margin stepdown in the US. How much is the allocation issues or allocation thought process impacting those moves?

你們引導我認為美國的利潤率會連續下降。分配問題或分配思考過程對這些措施的影響有多大？

Part of that, or the US P&L or the US contribution margin, we've said this before, I'll reiterate it, is definitely benefiting from the fact that we're launching more international markets. So the cost of that global original that Ted talks about is being spread by more markets. There's some relief to the US P&L, and in terms of the allocation mechanism, it's really by media market value.

其中一部分，或者美國損益表或美國邊際貢獻率，我們之前已經說過，我重申一下，肯定會受益於我們推出更多國際市場的事實。因此，泰德談到的全球原創產品的成本正在被更多的市場分攤。美國的損益表有所緩解，就分配機製而言，這實際上是根據媒體市值來決定的。

So in the early days, we were doing it by broadband households. That was overcharging certain markets where if you had a very knowledgeable experienced media buyer in the market they would say well there's no way that anyone would pay for this particular title at this amount in the market. So we refined that to a media market value that's validated by some third party survey information, and I would say in general it's vetted by our own buying team internally as to what would be paid for that particular title in the market.

所以早期我們都是透過寬頻家庭來做的。這在某些市場上收費過高，如果市場上有一位知識淵博、經驗豐富的媒體買家，他們會說，沒有人會在市場上以這個價格購買這個特定的標題。因此，我們將其提煉為由一些第三方調查資訊驗證的媒體市場價值，我想說的是，一般來說，我們自己的購買團隊會在內部審查市場上為該特定標題支付的費用。

And then margin being tight in Q2 is really related to the large amount of content and associated marketing for launching those content that we're very fortunate to have.

第二季度的利潤率緊張確實與大量的內容以及推出這些內容的相關行銷有關，我們非常幸運地擁有這些內容。

Thank you.

謝謝。

You guys are moving people towards a $10 a month price point in the US. For the folks who have the $12 plan, what are they using that for, are they using it to get high def, are they using it for four streams? What's the usage pattern for those customers.

你們正在將美國的人們推向每月 10 美元的價格點。對於那些擁有 12 美元計劃的人來說，他們用它來做什麼，他們用它來獲得高清，他們用它來播放四個串流嗎？這些客戶的使用模式是什麼？

Ultra high def 4K is becoming quite popular. We're the leading source of ultra high def content now. Ultra high def televisions are for sale at Best Buy and Costco. So we're seeing that ecosystem development. And if you pay $1,000 or $2,000 for a 4K TV, it's pretty natural to bump your Netflix to the $12 plan in the US, and about equal internationally to be able to get access to that 4K streams and see what your TV can really do.

超高清 4K 正變得相當流行。我們現在是超高清內容的主要來源。百思買 (Best Buy) 和好市多 (Costco) 出售超高清電視。所以我們看到了生態系的發展。如果你花1,000 或2,000 美元購買一台4K 電視，那麼在美國你的Netflix 套餐很自然會升級到12 美元，在國際上也差不多，這樣你就可以訪問4K 流媒體並看看你的電視到底能做什麼。

So that's the majority of the people who are paying you $12 are using it for the ultra high def?

那麼大多數付給你 12 美元的人都用它來觀看超高清？

That's right. The video quality is really the big driver. And similarly our standard def plan, which is DVD quality, is great for people, $7.99, and so that's a really strong option too. So we're not trying to bias people. We're trying to help them make a choice that they feel great about, and that they'll stay with. So think of us as really investing at both ends, the $7.99, $9.99 and $11.99.

這是正確的。視訊品質確實是最大的驅動因素。同樣，我們的標準清晰度計劃（DVD 品質）非常適合人們，價格為 7.99 美元，因此這也是一個非常強大的選擇。所以我們並不是試圖偏見人們。我們正在努力幫助他們做出讓他們感覺良好並且會堅持下去的選擇。因此，我們實際上是在兩端投資，即 7.99 美元、9.99 美元和 11.99 美元。

You spell out in your letter that the price hikes that are coming this month, next month, that you'll be staggering them throughout the year, it's not all going to happen in one fell swoop. Is that a change in plan, or was that always the direction you were going?

您在信中詳細說明，本月、下個月​​即將出現的價格上漲，全年都會出現驚人的上漲，這一切不會一下子發生。這是計劃的改變，還是這一直是你前進的方向？

That's always what we thought. It's a little bit cautious, but it won't hurt. We don't particularly need the revenue in the short term, so it's fine to just spread it out.

我們一直都是這麼想的。雖然有點謹慎，但不會有什麼壞處。短期內我們對收入不是特別需要，所以分散一下就好了。

Thanks.

謝謝。

David, just coming back a couple more on the numbers. The content, sorry, the contractual obligations were up to I think $12.3 billion at the end of the quarter, which was a bit of a jump from the end of last year. Is that the Disney pay one deal kicking in or any other color you'd add as to why that number inflated a bit?

大衛，剛剛回來再說一些數字。抱歉，截至本季末，合約義務的金額達到了 123 億美元，比去年年底有所增加。是迪士尼支付一筆交易開始了還是你會添加任何其他顏色來解釋為什麼這個數字有點膨脹？

It's really the Netflix global launch. So you've got to think about it as, we're adding more content now for the rest of the world. It's our newer markets as we add more content, those markets are growing in content spend more quickly than some of our more established markets.

這確實是 Netflix 的全球發表會。所以你必須考慮一下，我們現在正在為世界其他地區添加更多內容。隨著我們添加更多內容，這是我們的新市場，這些市場的內容支出成長速度比我們一些更成熟的市場更快。

So you combine those, and I think what you'll find is if you take that obligations number over our average membership for the quarter, it's still in that band of about 150, 160. And it really has only popped up this quarter because of that new launch basically of Netflix global.

所以你把這些結合起來，我想你會發現，如果你把這個義務數字與我們本季度的平均會員人數相比，它仍然在大約150、160 的範圍內。而且它實際上只是在本季度突然出現，因為Netflix 全球的新發布基本上是這樣的。

Remember on Disney, we have pay one today in Canada and then we'll be adding it this fall in the US.

請記住，在迪士尼，我們今天在加拿大支付了一項費用，然後我們將在今年秋天在美國添加它。

And just on the cash outlook, cash flow outlook, should we still be thinking about a $1 billion burn this year and any color for next year? And when might Netflix generate substantial free cash flow?

就現金前景、現金流前景而言，我們是否還應該考慮今年燒掉 10 億美元以及明年的任何顏色？ Netflix什麼時候才能產生大量的自由現金流？

So no change on the outlook on either this year or next year. I would say $1 billion is a pretty good guide for both this year and next year.

因此，今年或明年的前景沒有改變。我認為 10 億美元對於今年和明年來說都是一個很好的指導。

And really on free cash flow positive, it really it depends on the size of the business. It depends on how much more we'll continue to grow the content, which does depend on the size of the business. So on that one, I will turn the question around and say how big will we be and then I'll tell you when we'll be free cash flow positive.

實際上，自由現金流為正，實際上取決於業務規模。這取決於我們將繼續增加內容多少，這確實取決於業務規模。因此，在這一點上，我將把問題轉過來，說我們的規模有多大，然後我會告訴你我們什麼時候可以實現正自由現金流。

You how big we'll we be, and then how crazy does Ted go on these productions. And what we've found is that these really big productions like The Crown are just terrific for us in global brand building. So we're very excited about being able to deploy the cash to create shows like that and like The Get Down that's coming this fall also.

你知道我們的規模有多大，然後泰德對這些作品有多瘋狂。我們發現，像《王冠》這樣的大型製作對於我們的全球品牌建立來說非常出色。因此，我們非常高興能夠利用資金來製作類似的節目，以及今年秋天即將推出的《The Get Down》。

You should think about it that those big productions play much more like big block buster film. And the fact that not only do they get more watching in the US, but they travel much better too. So you see in all these non-English speaking territories, these series performed very well.

你應該想想，那些大製作更像是大片。事實上，他們不僅在美國獲得了更多的關注，而且他們的旅行也更好了。所以你會看到，在所有這些非英語地區，這些系列表現得非常好。

Reed, I was going to ask you, because I think you were quoted in The Guardian talking about or predicting spectacular budgets for TV series. Are your comments just now reflecting that expectation, and does that suggest a reduction in the return on spending that Ted's doing?

里德，我本來想問你，因為我認為《衛報》引用了你的話，談論或預測電視劇的預算驚人。您現在的評論是否反映了這種預期？這是否表明特德的支出回報率下降？

No, it suggests an increase in return on spending if anything. That is, when you spend on the big items they go much, much further than a whole lot of substitutable content. So we're interested in both spectacular content and spectacular membership growth.

不，它表明支出回報率增加（如果有的話）。也就是說，當你花在大件物品上時，它們比大量可替代的內容走得更遠。因此，我們對精彩的內容和精彩的會員成長都感興趣。

What we've found is that people globally love high production quality content.

我們發現，全球各地的人們都喜歡高品質的內容。

It's why US content has traveled the world historically so well because of the production value that you're seeing. So when you see things like the next month, we'll have our fourth season of Orange is the New Black. That was kind of a surprise to most people in that it didn't have any of the established movie star talent that some of our other shows have, but it had built up just on the quality of Jenji's storytelling, and then the spectacular cast and the ability to get to know them better. And that as we enter its fourth season now, it's got tens of millions of fans around the world that can't wait for that show.

這就是為什麼美國內容在歷史上能夠如此成功地傳播到世界各地，因為你所看到的製作價值。所以當你看到下個月的事情時，我們將迎來《女子監獄》第四季。這讓大多數人感到驚訝，因為它沒有我們其他一些節目所擁有的任何成熟的電影明星天賦，但它只是建立在 Jenji 講故事的質量上，然後是壯觀的演員陣容和更好地了解他們的能力。當我們現在進入第四季時，它在世界各地擁有數千萬粉絲，他們已經迫不及待地等待這部劇了。

Sometimes you can get that built-in excitement with somebody who brings their own draw and their own star power like a Will Smith movie or a Brad Pitt movie that comes out, or Naomi Watts starring in a TV series for Netflix or Drew Barrymore staring in a TV series for Netflix. This is a way people can more quickly get the to know some of our newer IP.

有時，你會因為有人帶來自己的吸引力和明星影響力而感到內在的興奮，例如威爾史密斯的電影或布萊德彼特的電影上映，或是娜歐蜜華茲主演的Netflix 電視劇或德魯巴里摩爾主演的Netflix 的電視劇。這是人們可以更快地了解我們的一些新 IP 的一種方式。

And Orange is only 60 days away, June 17.

距離 Orange 只剩 60 天了，即 6 月 17 日。

June 17.

6 月 17 日。

Does that bigger, better, super size it attitude, is that going to apply to feature films that you'd like to release theatrically? Could you do a Star Wars size production, or does the pushback from the traditional cinema distributors prevent you from really going whole hog on a movie like that?

這種更大、更好、超大尺寸的態度是否適用於您想要在戲院上映的劇情片？你能製作一部星際大戰規模的電影嗎？或者傳統電影發行商的反對會阻止你真正全力以赴地製作這樣的電影？

You should look at our original films as similar to a slate of studio films. And that's -- FOX did have Star Wars this year, but they also had Brooklyn and a lot of things in between and that's what we're looking at too. Whether or not a movie at the Star Wars level makes sense yet, we'll see, but we're ramping up.

您應該將我們的原創電影視為類似於一系列工作室電影。那就是——福克斯今年確實有《星際大戰》，但他們也有布魯克林和中間的很多東西，這也是我們正在關注的。無論星際大戰等級的電影是否有意義，我們都會拭目以待，但我們正在加快步伐。

You saw recently we announced that we're doing the next Will Smith movie called Bright with David Ayer directing which is a big-budget summer movie. In fact, it will be David and Will as soon as they come off of Suicide Squad, that's their next film and it will premier on Netflix in 2017 included in your subscriptions costs. So while we're all debating around big ticket, day and day pay-per-view, we will be debuting that movie on Netflix included in your subscription costs all over the world.

你最近看到我們宣布我們正在製作下一部威爾史密斯的電影《光明》，由大衛艾爾執導，這是一部大預算的夏季電影。事實上，《自殺突擊隊》結束後，這將是大衛和威爾的下一部電影，並將於 2017 年在 Netflix 首映，費用包含在您的訂閱費用中。因此，當我們都在爭論大票價、日復一日的按次付費觀看時，我們將在 Netflix 上首映這部電影，費用包含在全球各地的訂閱費用中。

But you're not going to the tentpole strategy the big studios have gone to yet, where you're doing a handful of very, very large productions, you want a range of them.

但你還不會採用大型工作室已經採取的支柱策略，即你正在製作一些非常非常大的作品，你想要一系列的作品。

A range of productions, correct.

一系列作品，正確。

And then you mentioned the day and day debate. You've seen that directors come out and say we like the idea of playing with the window, what's it called, the screening room product. Does that mean anything to you, is that something that you guys could participate in?

然後你提到了日復一日的辯論。你已經看到導演出來說我們喜歡玩窗戶的想法，它叫什麼，放映室產品。這對你來說有什麼意義嗎？你們可以參與嗎？

No. Like I said, we wouldn't mind having our films available in that product to the extent that people want to see it. Our focus is on movie lovers and movie fans, and trying to get them the content that they want at reasonable prices in great windows.

不。就像我說的，我們不介意在該產品中提供我們的電影，只要人們願意觀看即可。我們的重點是電影愛好者和影迷，並試圖以合理的價格在大窗口中為他們提供他們想要的內容。

So for us, being able to produce our own films, gives us more control over those windows and the quality of the films themselves. So screening room to me would be a great way to get the content in front of consumers if they're willing to pay for it.

因此，對我們來說，能夠製作自己的電影，使我們能夠更好地控制這些窗口和電影本身的品質。因此，對我來說，如果消費者願意付費，放映室將是將內容呈現在消費者面前的好方法。

Thanks.

謝謝。

Reed, you've talked historically about a 60 million to 90 million subscriber opportunity in the US. And I'm just wondering as you sit here today, if you can update us on your expectations long term in the US market? Is there anything that you think needs to happen that isn't happening today to get you there? For example, whether [MVPD], set top distribution, broad distribution in the US from say a new Charter or a Comcast would really help accelerate the growth in the United States.

Reed，您曾經談到美國有 6000 萬到 9000 萬訂閱者的機會。我只是想知道您今天坐在這裡，能否向我們介紹您對美國市場的長期預期的最新情況？有沒有什麼事情你認為需要發生但今天沒有發生才能讓你實現這個目標？例如，無論是[MVPD]、機上盒分發、在美國透過新憲章或康卡斯特進行廣泛分發，都將真正有助於加速美國的成長。

It helps a little bit. We're integrated with Suddenlink in the US which is about 1 million subscribers, and of course in Europe we're integrated in many platforms. But think of it as the fundamental draw of internet TV. You can get it on a SmartTV, you can get it on an Apple TV, so there's a lot of ways around it where we don't have that distribution on cable. But it's one more platform, and all platforms are good. It's not something we need to say get to 60 million to 90 million.

它有一點幫助。我們在美國與 Suddenlink 集成，該公司擁有約 100 萬用戶，當然在歐洲，我們與許多平台整合。但可以將其視為網路電視的根本吸引力。你可以在 SmartTV 上獲得它，也可以在 Apple TV 上獲得它，所以有很多方法可以解決這個問題，而我們在有線電視上沒有這種分發。但這又是一個平台，而且所有平台都很好。達到6000萬到9000萬，這不是我們需要說的。

And we're continuing to see just that steady growth. To have 2.25 million net additions in the US in Q1, basically the same as the prior two years, it just felt great. So we're really excited about what the new content as it builds is able to do for us.

我們將繼續看到這種穩定的成長。美國第一季淨新增人口225萬，與前兩年基本持平，感覺很棒。因此，我們對新內容能為我們帶來的好處感到非常興奮。

Ted, one of the things we hear from particularly investors in Europe is just that there's a limit to how far US exports can get you. I don't know whether you agree or disagree with that. But I'm just wondering if you think, particularly in markets like Europe and France who might have let's say unique content tastes, that you need to go more local with your spending in those markets and maybe some of the earlier international markets for example.

特德，我們從歐洲投資者那裡聽到的一件事是，美國的出口可以讓你走多遠。我不知道你是否同意這一點。但我只是想知道您是否認為，特別是在歐洲和法國等可能有獨特內容品味的市場，您需要在這些市場（也許是一些早期的國際市場）的支出上更加本地化。

Well I do think that what's popular in a market is much more a reflection on what's been available to that market over long periods of time. So what we've been really encouraged by is just how international our original series have been.

我確實認為市場上流行的東西更多地反映了該市場長期以來可用的東西。因此，真正讓我們感到鼓舞的是我們的原創系列的國際化程度。

So you take a non-English speaking territory, you spoke about Brazil earlier, and not only is it not English speaking it's a non-Spanish speaking Latin American territory. And in the last 30 days, eight of the top ten most watched things in Brazil have been Netflix original series. So these shows play very well, throughout Europe as well.

因此，您選擇了一個非英語地區，您之前談到了巴西，它不僅不說英語，而且還是一個非西班牙語的拉丁美洲地區。在過去 30 天內，巴西收視率前十的劇集中有八部是 Netflix 原創影集。所以這些節目在整個歐洲都表現得很好。

Now that being said, we think it's worth it to complement the selection by focusing on some local productions in those territories throughout Europe and throughout Latin America. So Reed had mentioned, but on May 5, we'll launch Marseille, which is our first French language show filmed in France starring Gerard Depardieu. We're also filming original series in Spain, in Brazil, in Italy. So we're definitely investing in local language content, particularly in those markets that have shown some desire for more local programming, but as a complement to our global offering.

話雖如此，我們認為值得透過關注整個歐洲和整個拉丁美洲這些地區的一些本地製作來補充選擇。里德提到，5 月 5 日，我們將推出《馬賽》，這是我們在法國拍攝的第一部法語劇，由傑拉爾·德帕迪約主演。我們也在西班牙、巴西和義大利拍攝原創影集。因此，我們肯定會投資本地語言內容，特別是在那些對更多本地節目表現出一定渴望的市場，但作為我們全球產品的補充。

And, David, does that mean by default those markets may be lower margin than the US market long term?

大衛，這是否意味著默認情況下這些市場的利潤率可能低於美國市場的長期利潤？

No, I don't think that's what Ted is saying. I don't think you can equate the two. Even when we're looking for a local original like Marseille, we're considering the economics of that production based on the total French diaspora. So not just people in France, but people outside of France that are interested in French language content. So I think you can -- you can't necessarily equate those two, and we preference the content when we're developing those local originals for things that have potential demand outside of the original market that it's produced in.

不，我不認為特德是這麼說的。我認為你不能將兩者等同起來。即使我們正在尋找像馬賽這樣的本地原創作品，我們也會根據法國僑民總數來考慮該製作的經濟性。因此，不僅是法國人，還有法國境外對法語內容有興趣的人。所以我認為你可以——你不一定將這兩者等同起來，當我們為那些在其生產的原始市場之外有潛在需求的東西開發這些本地原創內容時，我們更喜歡內容。

And our Japanese original, Hibana, for example, we're launching this quarter and that will be available globally. So think of all that content we're developing it locally, distributing it globally and connecting the world through that. We think that's a very powerful formulation that will help us grow for many years ahead.

例如，我們的日本原創作品 Hibana 將於本季推出，並將在全球發售。因此，想想我們在本地開發、在全球範圍內分發並透過這些內容連接世界的所有內容。我們認為這是一個非常強大的公式，將幫助我們在未來的許多年裡成長。

The Marseille example, Gerard Depardieu is the biggest star in France, and one of the biggest stars in the world. And we have about 2 million people in the US who watch French language television regularly on Netflix. So that's what we're talking about the scale that we could bring to a production like that for France and Europe, but really for the world.

以馬賽為例，傑拉爾‧德帕迪約是法國最大牌的球星，也是全世界最大牌的球星之一。在美國，大約有 200 萬人經常在 Netflix 上觀看法語電視節目。這就是我們所談論的我們可以為法國和歐洲乃至全世界帶來的製作規模。

Thank you.

謝謝。

Ted, what's your biggest non-English speaking audience in the US? You said France is 2 million. French is 2 million.

泰德，您在美國最大的非英語觀眾是什麼？你說法國有200萬。法文是200萬。

Probably Hispanic, I imagine it would be Hispanic.

可能是西班牙裔，我想應該是西班牙裔。

Makes sense. Reed, were you surprised that HBO said they had 800,000 subs after about six months going head to head with you a as a standalone product?

說得通。 Reed，當 HBO 聲稱他們在與您作為獨立產品進行了大約六個月的競爭後擁有 800,000 名訂閱者時，您是否感到驚訝？

A little bit. I think it's a great product, I use it all the time. But then I think for many other people, they probably just subscribe to HBO and cable and they're used to that.

一點點。我認為這是一個很棒的產品，我一直在使用它。但我認為對於許多其他人來說，他們可能只是訂閱 HBO 和有線電視，並且已經習慣了。

So you thought the number would be higher than 800,000?

那你認為這個數字會高於80萬嗎？

Yes, just because I find it -- the thing I like about the HBO Now is it's just easier to use. You can use it on the mobile. You can use it on many different internet platforms, but then I'm pretty internet centric. Apparently, I'm not as typical of the audience.

是的，只是因為我發現了它——我喜歡 HBO Now 的一點是它更容易使用。您可以在手機上使用它。你可以在許多不同的網路平台上使用它，但我非常以網路為中心。顯然，我不是典型的觀眾。

But they're continuing to do great work. And what that does is just reinforce to the consumers how great this new internet thing is for TV, and it just sets the drum beat. So I hope they continue to have more and more success.

但他們仍在繼續做偉大的工作。這樣做的目的只是向消費者強調這種新的網路事物對於電視來說有多偉大，而且它只是敲響了鼓點。所以我希望他們繼續取得越來越多的成功。

Ted, there's more money coming into the market for programming, HBO, Showtime, Starz, you guys, Amazon, Crackle is getting into it. Verizon is spending a lot of money.

Ted，越來越多的資金進入節目製作市場，HBO、Showtime、Starz、你們、亞馬遜、Crackle 都在進入這個市場。 Verizon 花了很多錢。

CBS all access, I've got a list. And that's just in the US.

哥倫比亞廣播公司所有訪問，我有一個清單。這只是在美國。

Does that number continue to get bigger in perpetuity, or does it retract at some point and people say all right, we've over done it and we're going to pull back on spend?

這個數字是否會永遠持續增加，或者是否會在某個時候回落，人們會說好吧，我們已經做得太過分了，我們將減少支出？

It's hard to tell. People talk about the growing content spend. But what we're able to do is find the shows and get the shows that we want and we do have to pay a lot more them.

很難說。人們談論不斷增長的內容支出。但我們能做的就是找到我們想要的節目並獲得我們想要的節目，但我們確實必須支付更多費用。

But coming back to the phrase earlier, they're really spectacular what we're doing. And I think when you see Orange, when you see The Get Down, when you see The Crown, you'll know why we're investing in what we do.

但回到之前的那句話，我們正在做的事情真的很壯觀。我認為，當你看到《橘色》、《The Get Down》、《王冠》時，你就會知道我們為什麼要投資我們所做的事情。

Peter, I think it's a debate around how you to best monetize your content. And if you believe you can over the long haul best monetize your content with your own app, then you'll go that path. If you believe you can best monetize it by licensing it to Netflix, you'll go that path.

彼得，我認為這是一場圍繞如何最好地利用內容獲利的爭論。如果您相信從長遠來看，您可以透過自己的應用程式最好地透過內容獲利，那麼您就會走這條路。如果您相信透過將其授權給 Netflix 可以最好地實現盈利，那麼您就會走這條路。

Reed, what's been the feedback initially from members around your price points in the rest of world markets you launched in January? Obviously, relatively expensive versus existing pay TV or entertainment options. Any thought about changing your global price point approach in those markets?

Reed，會員對您一月份在世界其他市場推出的價格點的初步回饋如何？顯然，與現有的付費電視或娛樂選項相比相對昂貴。是否考慮過改變這些市場的全球價格點方法？

We really haven't seen price be much of an issue. But then today, we're serving English language speaking elites around in these countries.

我們確實沒有看到價格成為一個大問題。但今天，我們正在為這些國家的英語精英提供服務。

So in the model that we're doing and targeting the high end, the price is fine. We'll see over the coming years as we expand and we may need some flexibility eventually. But nothing in the short term.

所以在我們正在做的、定位高階的車款中，價格還可以。隨著我們的擴張，我們將在未來幾年看到，最終我們可能需要一些靈活性。但短期內甚麼都沒有。

Why don't we do the last two questions here.

為什麼我們不在這裡做最後兩個問題呢？

I was just going of to quickly follow up on that topic and I'll hand it back to Peter for the last one. David, you guys are working on more local language offerings, better payment processes, other operational improvements in those rest of world markets. What's the timing there, should we be thinking about that through the remainder of this year or is it a longer term time frame?

我正打算快速跟進這個主題，然後我會將最後一個主題交還給彼得。大衛，你們正在致力於在世界其他市場提供更多本地語言產品、更好的支付流程以及其他營運改進。我們應該在今年剩餘時間考慮這個問題，還是一個更長期的時間框架？

It's kind of both. So you'll see some this year, but really it's about the next two to three years in terms of improvement. We've only just started skimming these markets. So we'll be looking at them opportunity by opportunity, and you'll see some this year but you'll see some continued into next year and even into 2018 I think.

兩者兼而有之。所以今年你會看到一些，但實際上這是關於未來兩到三年的改進。我們才剛開始瀏覽這些市場。因此，我們將一次又一次地關注它們，今年你會看到一些，但你會看到一些會持續到明年，我認為甚至會持續到 2018 年。

We have a big opportunity in front of us, as Reed of pointed out. Many of our internet peers have a dramatically larger business outside of the US versus inside the US. So we're pretty excited about that opportunity.

正如里德所指出的，我們面前有一個巨大的機會。我們的許多網路同業在美國境外的業務比在美國境內的業務大得多。所以我們對這個機會感到非常興奮。

I think one of the really exciting parts about being in all these countries is being able to discover the next great storyteller for the world. So because we're more focused thinking about India, where we weren't thinking about it at all a couple of years ago, we acquired this great film called Brahman Naman at Sundance this year that we'll be premiering around the world in June. And it really is a discovery of a great Indian director named Q who I think everyone's going to be talking about over the next few years, and having that kind of global sensibility increasingly is going to help the programming for everybody not just the subscribers in those countries.

我認為在所有這些國家真正令人興奮的部分之一是能夠為世界發現下一個偉大的故事講述者。因此，因為我們更專注於印度，幾年前我們根本沒有考慮過印度，所以今年我們在聖丹斯電影節上購買了一部名為《Brahman Naman》的精彩電影，我們將於六月在全球首映。這確實是一位名叫Q 的偉大印度導演的發現，我認為在接下來的幾年裡每個人都會談論他，並且越來越多地擁有這種全球敏感性將有助於每個人的節目，而不僅僅是這些節目的訂戶。國家。

And so in a movie like Brahman Naman, it's in English, so it's accessible to many people. But YouTube has over 50 languages, we only have about 20. So that scales for you roughly how far we've got to go.

因此，像《Brahman Naman》這樣的電影是英文的，所以很多人都能看懂。但 YouTube 有 50 多種語言，而我們只有大約 20 種。因此，這可以大致告訴您我們還需要走多遠。

Thank you.

謝謝。

You guys are moving into more and more kids content. Does it make sense for you to eventually own the IP yourself instead of licensing it through Disney or Dreamworks so you can create ancillary revenue streams?

你們正在轉向越來越多的兒童內容。您最終自己擁有該 IP，而不是透過迪士尼或夢工廠獲得許可，以便創造輔助收入流，這對您來說是否有意義？

We do a lot of both. The consumer products addition to those projects relative to the content value itself is pretty small. But we could look to optimize that stuff down the road.

我們兩者都做很多。相對於內容價值本身而言，這些項目中所添加的消費品是相當小的。但我們可以考慮在未來優化這些東西。

In Q2, we're launching nine seasons of original kids content, including a new season of All Hail King Julian which is nominated for a daytime Emmy. This year, we have 33 daytime Emmy nominations for our kids content across seven of our different shows. So we're really focused on building up the quality of that programming that's exclusive and original to Netflix.

在第二季度，我們將推出九季原創兒童內容，其中包括獲得日間艾美獎提名的新一季《All Hail King Julian》。今年，我們的 7 個不同節目中的兒童內容獲得了 33 項日間艾美獎提名。因此，我們真正專注於提高 Netflix 獨家原創節目的品質。

So a Ted Sarandos land or a Reed Hastings land at some point?

那麼泰德·薩蘭多斯（Ted Sarandos）土地或里德·黑斯廷斯（Reed Hastings）在某個時候土地？

We were going to nominate as Kafka land. So to wrap up here, I wanted to thank Peter Kafka who's been with us these last few calls and is retiring from this side job. And thank you for your involvement in this.

我們打算提名為卡夫卡之地。最後，我要感謝彼得·卡夫卡（Peter Kafka），他在過去的幾次電話中一直與我們在一起，並且即將從這份副業中退休。感謝您對此的參與。

And to all the investors, thank you for your support. We had just a great quarter with 6.5 million net adds, over 81 million subscribers. We cannot wait to break through 100 million subscribers sometime next year. It's going to be a big celebration. We're looking forward to it. So thank you very much.

感謝所有投資者的支持。我們剛剛度過了一個出色的季度，淨增用戶達 650 萬，訂戶數量超過 8,100 萬。我們迫不及待在明年某個時候突破 1 億訂戶。這將是一場盛大的慶祝活動。我們很期待。非常感謝。

Thanks.

謝謝。