Netflix Inc (NFLX) 2016 Q3 法說會逐字稿

Welcome to the Netflix Q3 2016 earnings call. I'm David Wells, CFO, and joining me on the Company side today is Reed Hastings, our CEO; and Ted Sarandos, our Chief Content Officer. Interviewing us will be Scott Devitt from Stifel, sorry, Scott Devitt from Stifel and Ben Swinburne from Morgan Stanley. Ben in his fourth interview before he passes the baton.

歡迎參加 Netflix 2016 年第三季財報電話會議。我是財務長大衛威爾斯 (David Wells)，今天與我一起加入公司的還有我們的執行長里德黑斯廷斯 (Reed Hastings)；和我們的首席內容官 Ted Sarandos。採訪我們的是 Stifel 的 Scott Devitt，抱歉，是 Stifel 的 Scott Devitt 和摩根士丹利的 Ben Swinburne。本在接力棒之前接受第四次採訪。

Before we get started, we will be making forward-looking statements. Actual results may vary. Ben, I think you have the first question. Over to you.

在開始之前，我們將做出前瞻性聲明。實際結果可能有所不同。本，我想你問的是第一個問題。交給你了。

Thank you very much. Reed, maybe we could start by focusing in on the international strength this quarter. Typically, I think you and your colleagues have downplayed the impact of originals, but in the letter you really called out the benefit of -- on acquisitions from your original content. I think you noted Stranger Things and Narcos.

非常感謝。里德，也許我們可以從本季的國際實力開始關注。通常，我認為您和您的同事淡化了原創內容的影響，但在信中您確實指出了從原創內容中獲得的好處。我想你注意到了《怪奇物語》和《毒梟》。

Can you just shed some light on that? Why do you think those are having such an impact on gross adds today? And any particular color on markets that might surprise us about where those originals were really driving the business?

你能解釋一下嗎？您認為為什麼這些因素對今天的總增加量產生如此大的影響？市場上有什麼特定的顏色可能會讓我們驚訝於這些原創產品真正推動了業務的發展嗎？

Sure. If you look over the whole year, we've generated 12 million net adds this year; last year we generated 12 million net adds, so there's been remarkable steadiness over -- measured over the three-quarter period. But if you look at any single quarter, we're high, we're low, and I think what's happening is that when we have some big originals, it definitely grows the business. But some of that is a pull forward from the natural underlying growth rate.

當然。如果你看一下全年，我們今年淨增加了 1,200 萬；去年，我們淨增加了 1,200 萬用戶，因此在過去的三個季度中，我們的銷售量保持了顯著的穩定。但如果你看一下任何一個季度，我們要么高，要么低，我認為正在發生的事情是，當我們擁有一些大的原創作品時，它肯定會增長業務。但其中一些是自然基礎成長率的拉動。

So if, in hindsight, if we look back in Q1, we over interpreted that, in Q2, then we overinterpreted a low. But it's actually quite steady over the midterm, which is basically a fundamental organic growth of this on-demand internet television. So think of it as it can affect the quarter a lot. It affects the year only a little, that is as the total programming is better.

因此，事後看來，如果我們回顧第一季度，我們過度解讀了第二季度的低點。但中期來看其實相當穩定，這基本上是這種點播網路電視的基本有機成長。因此，請考慮一下它，因為它會對本季度產生很大影響。它對年份的影響很小，也就是說總體規劃更好。

And you mentioned that the churn, I think, globally was roughly in line with your expectations as you move through the quarter. If we just think about the longer term, particularly, next year, there's probably logic to say that your net adds could improve next year overall, given you're not going to have this elevated churn. How do you think about the impact of churn as we move into 2017, and do you have any expectations for price increases at this point?

您提到，我認為，隨著本季的發展，全球範圍內的客戶流失率大致符合您的預期。如果我們只考慮更長期的情況，特別是明年，那麼可能有邏輯地說，考慮到您的客戶流失率不會這麼高，明年您的淨增加量可能會整體改善。進入 2017 年，您如何看待客戶流失的影響？此時您對價格上漲有何預期？

Well, we definitely want to increase net adds. But when I look over the last three or four years at how steady they've been, how hard they've been to move up, and similarly, that they've been very steady, we're only probably going to be able to make a little progress on increasing year-over-year net adds next year. So we're fundamentally in this growth cycle that's to do with the Internet, smart TV, people getting used to on demand, all of those aspects. So we're continuing to make progress.

嗯，我們肯定希望增加淨增量。但是，當我回顧過去三四年，他們的表現有多穩定，他們的晉升有多麼困難，同樣，他們一直非常穩定，我們可能只能明年在同比淨增量增長方面取得一些進展。因此，我們從根本上正處於這個成長週期，這與網路、智慧電視、人們習慣點播以及所有這些方面有關。所以我們正在繼續取得進展。

I wouldn't hook it to the micro-variables about this churn or that churn or this show. It's much more of a deep force that's changing the market as more and more people are getting used to Internet television.

我不會將其與有關這次流失或那個流失或這個節目的微觀變數聯繫起來。隨著越來越多人習慣網路電視，這更是改變市場的深層的力量。

Ben, if I might add, it's probably useful to talk about US and international a little bit differently. The US is a much older market in terms of our ability to improve that product and have more time. We've settled into a rate of churn that's lower than some of our international markets. They get there over time, but I would say just in terms of that conversation, we think that there's room left to improve the US as that ungrandfathering effect fades out over time. But outside the US, we'll definitely have more opportunity to improve churn over time as we improve those products outside the US.

Ben，如果我可以補充的話，以稍微不同的方式談論美國和國際可能會很有用。就我們改進產品的能力和有更多時間而言，美國是一個歷史悠久的市場。我們的客戶流失率已經低於一些國際市場。隨著時間的推移，他們會實現這一目標，但我想說的是，就那次談話而言，我們認為，隨著時間的推移，不祖父效應逐漸消失，我們認為美國還有改進的空間。但在美國以外的地區，隨著時間的推移，隨著我們改進美國以外的產品，我們肯定會有更多的機會來改善客戶流失率。

And not to do my Lester Holt impression, but Reed, to make you answer the question, do you have any expectation for price increases at this point that you could talk about?

不是為了給萊斯特·霍爾特留下印象，而是讓里德讓你回答這個問題，你對目前可以談論的價格上漲有什麼預期嗎？

No, we have no plans on price increases outside of an inflation adjustments that we do in Brazil on an annual, which is the law there.

不，除了巴西每年進行的通膨調整之外，我們沒有任何漲價計劃，這是巴西的法律。

Okay, thank you.

好的謝謝。

Then to just follow-up on another part of Ben's question which was international overperformance, which markets actually overperformed to the extent that you can identify specific markets or even that it was some of the older markets that were overperforming relative to new or otherwise?

然後，跟進本問題的另一部分，即國際表現優異，哪些市場實際上表現優異，以至於您可以識別特定市場，甚至是一些較舊的市場相對於新市場或其他市場表現優異？

For competitive reasons, we're really not going to break out per-country markets and results. I would say we're having broad success around international. We're continuing to make those investments. We've got a lot of room to go to improve the service. We mentioned in the letter that we've only just now localized Poland and Turkey. That brings us up to 22 languages; YouTube is at 50, so we've got a long way to go in that localization effort.

出於競爭的原因，我們實際上不會打破每個國家的市場和結果。我想說我們在國際上取得了廣泛的成功。我們將繼續進行這些投資。我們還有很大的空間可以改進服務。我們在信中提到，我們剛剛在地化了波蘭和土耳其。這樣我們就可以支援 22 種語言； YouTube 已經成立 50 週年，因此我們在在地化工作上還有很長的路要走。

I'd just add real quick that one of the really encouraging points was our big series that we had going on in the quarter, Luke Cage, Stranger Things, The Get Down, Narcos, of course, the great thing is they performed proportionately well globally. So the content is traveling in a way that we'd hoped.

我只想快速補充一點，真正令人鼓舞的一點是我們在本季進行的大型連續劇，《盧克凱奇》、《怪奇物語》、《The Get Down》、《毒梟》，當然，最棒的是它們的表現相當不錯全球。所以內容正在以我們希望的方式傳播。

Scott and Ben, I would say it wasn't any one market. Right? I think it's okay to talk about the fact it was a very broad-based performance across multiple international markets, so very broad.

史考特和本，我想說這不是任何一個市場。正確的？我認為可以談論這樣一個事實：這是跨越多個國際市場的非常廣泛的表現，非常廣泛。

And then secondly, the quarterly volatility in the stock and the performance relative to your visibility three months out domestically, internationally, it certainly does seem to accelerate the [grain] process for folks like me that watch the business on a quarterly basis. And was just wondering to the extent that, Reed, you just mentioned that the visibility into the business and the linearity and progression of subscriber growth on an annual basis seems to be more predictable. Is there any thought in terms of providing annual guidance as it relates to subscriber growth instead of quarterly guidance?

其次，股票的季度波動性以及相對於三個月後國內、國際知名度的表現，對於像我這樣每季度關注業務的人來說，它確實似乎加速了[穀物]過程。我只是想知道，里德，您剛剛提到業務的可見性以及每年用戶成長的線性和進展似乎更可預測。是否有考慮提供與用戶成長相關的年度指導而不是季度指導？

Not particularly, I think we can all see that it's time for me to apologize for the volatility again. This time it's in a good direction. But I think more and more investors are able to look at the multi-year picture and they see the patterns emerging, and so then it will be less and less about our guidance.

不是特別，我想我們都可以看到，現在是我再次為波動性道歉的時候了。這次是往好的方向發展了。但我認為越來越多的投資者能夠審視多年的前景，他們看到正在出現的模式，因此我們的指導將會越來越少。

I think the main thing about one-year guidance is we probably don't have any more insight than investors do. Whereas in the current quarter when we're two or three weeks into it, we do have a little bit of an advantage, so that's why we do the current quarter guidance.

我認為一年期指導的主要問題是我們可能沒有比投資者更多的洞察力。而在當前季度，當我們進入兩三週後，我們確實有一點優勢，所以這就是我們制定當前季度指導的原因。

Let me ask you, Reed or David, about the X1 integration. Brian demoed it recently at a conference, it looks quite elegant. Do you expect this to be a meaningful contributor in the fourth quarter when we look at your domestic net adds? And maybe stepping back, Reed, do you think these partnerships play a larger role over time in driving your business than they have maybe historically?

讓我向您詢問有關 X1 整合的問題，Reed 或 David。 Brian 最近在一次會議上演示了它，它看起來相當優雅。當我們查看您的國內淨增量時，您認為這會在第四季度產生有意義的貢獻嗎？也許退一步，里德，您認為隨著時間的推移，這些合作夥伴關係在推動您的業務方面發揮的作用是否比歷史上更大？

Yes, we sure hope so. It's rolling out this quarter, it's a really nice integration. Comcast users tend to be pretty advanced, high-income households, so many of them already have Netflix. But having it integrated into X1 will make it easier to use. That increases the word of mouth, and all of these MVPD integrations, they help just like being integrated in smart televisions. So think of it as the more devices we're in, the easier it is to use, but there's no step function here, because again, most of those homes probably have Netflix already.

是的，我們當然希望如此。它將於本季度推出，這是一個非常好的整合。康卡斯特用戶往往是相當先進的高收入家庭，因此他們中的許多人已經擁有 Netflix。但將其整合到 X1 中將會使其更易於使用。這會增加口碑，所有這些 MVPD 整合都會像整合到智慧電視中一樣提供幫助。因此，我們可以將其視為我們使用的設備越多，使用起來就越容易，但這裡沒有步驟功能，因為大多數家庭可能已經擁有 Netflix。

And do you have any concerns at all that the consumer who accesses it through the X1 is not as deep in the Netflix universe from an experience perspective as they might be using it in the smart TV or an app because they're navigating through the Xfinity guide? How did you get comfortable that that wasn't going to be a negative, net negative or maybe you felt like it was offset by other positives?

您是否擔心透過 X1 存取它的消費者從體驗角度來看並不像在智慧電視或應用程式中使用它那樣深入 Netflix 世界，因為他們是透過 Xfinity 進行導航的指導？你是如何感到放心的，這不會是負面的、淨負面的，或是你覺得它被其他正面的一面所抵消？

Well, there's definitely concerns like that, and on the same side, an MVPD has concerns that by putting on Netflix, they will build more Netflix awareness and we have concerns that the UI. But ultimately where we get together is let's try to learn together what the customer really wants. And if we're thoughtful with each other and we're focused on the customer together, we're both going to be able to prosper.

嗯，肯定存在這樣的擔憂，而在同一方面，MVPD 擔心透過播放 Netflix，他們會建立更多的 Netflix 認知度，而我們擔心 UI。但最終我們聚集在一起的地方是讓我們一起努力了解客戶真正想要什麼。如果我們彼此考慮並共同關注客戶，我們都將能夠繁榮。

And then on the X1 specifically when you click on, say it's in the guide to the show, it brings you into the Netflix user interface for showing you the show. And then the post-play kicks in where you've got the different follow-up shows that you could watch on Netflix.

然後，在 X1 上，特別是當您點擊節目指南中的 時，它會帶您進入 Netflix 使用者介面，向您展示節目。然後播放後開始，您可以在 Netflix 上觀看不同的後續節目。

And Scott and Ben, we have other partners that we've launched with, Virgin and others, that we've gotten an early preview in terms of how the consumer interacts with the application. And as long as we're able to continue to improve the attractiveness and the compellingness of the content and the experience of Netflix, we feel like we're -- it's a good partnership.

Scott 和 Ben，我們還有其他合作夥伴，例如 Virgin 和其他合作夥伴，我們已經獲得了消費者如何與應用程式互動的早期預覽。只要我們能夠繼續提高 Netflix 內容和體驗的吸引力和吸引力，我們就覺得這是一個很好的合作關係。

And the X1 is the most powerful CPU box we've ever seen in the MVPD space, and so the percentage of streams that are HD and the UI is really spectacular. It's the best that we've ever seen.

X1 是我們在 MVPD 領域見過的最強大的 CPU 盒子，因此高清串流和 UI 的比例非常驚人。這是我們見過的最好的。

Great.

偉大的。

Reed, you mentioned no plans for pricing increase in the near term. Now that you've gone through the ungrandfathering, which has created a level of consistency in pricing across the customer base, I'm wondering how you think about pricing increases in the future. It seems like with where the product is priced in the US and internationally today, that there's still quite a bit of room. And just wondering philosophically how you think about acting on that over time.

里德，您提到近期沒有漲價計畫。既然您已經經歷了取消定價，這在整個客戶群中創造了一定程度的定價一致性，我想知道您如何看待未來的定價上漲。就目前該產品在美國和國際上的定價來看，似乎仍有相當大的空間。只是想知道隨著時間的推移，你如何看待採取行動。

Well look, we've had great couple years at these price points and there's a lot of competition entering the market. What we're focused on is just how do we increase value to the consumer by having more spectacular shows so that people watch more of Netflix. And over time that will take care of itself, but we don't want to get overconfident just because we've had a good couple years here.

好吧，我們在這些價位上已經度過了好幾年，並且有很多競爭進入市場。我們關注的是如何透過提供更精彩的節目來增加消費者的價值，以便人們觀看更多 Netflix 節目。隨著時間的推移，這會自行解決，但我們不想僅僅因為我們在這裡度過了美好的幾年而變得過於自信。

There's a small technical carve out in Reed's answer in terms of we do have some territories of the world, countries of the world changing their VAT or their GST laws. And to the extent that we feel like that's a territory- or country-level response and we can pass that to the consumer, we may do that. It's just we have a lot of different price points across the world at this point. So that's just a technical addition to Reed's answer.

里德的回答中有一個小小的技術突破，因為我們確實有世界上的一些領土、世界上的一些國家正在改變他們的增值稅或商品及服務稅法律。如果我們覺得這是地區或國家層面的反應，並且我們可以將其傳遞給消費者，我們可能會這樣做。只是目前我們在世界各地有很多不同的價格點。所以這只是里德答案的技術補充。

And then, David, back to you. In terms of the commentary about material profits, we're now closing in on 2017. You added some language in the shareholder letter about material process again in 2017 and continuing to grow from there. Could you add any numbers to that in terms of what material profits actually means, how we should think about that next year and in coming years?

然後，大衛，回到你身邊。就物質利潤的評論而言，我們現在已經接近 2017 年了。您在 2017 年的股東信中再次添加了一些關於物質流程的語言，並在此基礎上繼續增長。您能否在物質利潤的實際意義方面添加一些數字，我們應該如何考慮明年和未來幾年的問題？

Well we added is some numbers in Q3 and in our guide for Q4, so you're starting to see that operating margin grow and the operating profit. We're growing both revenue and operating margin. So you're starting to see that grow already, but it will grow more and more materially next year and forward.

我們在第三季和第四季的指南中加入了一些數字，因此您開始看到營業利潤率和營業利潤的成長。我們的收入和營業利潤率都在成長。所以你已經開始看到這種成長，但明年及以後它的成長將會越來越實質。

So I think as we are able to reduce our international losses, we don't have another set of territories that we're launching next year. And as we're able to grow both margin and revenue in the US, you're seeing that lift out. But we'll have more specifics to say in Q1 in terms of providing some more guidance on that.

因此，我認為，由於我們能夠減少國際損失，因此我們明年不會再推出另一組地區。隨著我們能夠在美國提高利潤和收入，您會看到這種成長。但我們將在第一季提供更多細節，並提供更多指導。

David, let me just pick up on that since we're talking about the financial outlook. It looks like this year I think you guys are guiding to about $1.5 billion of free cash burn, which is higher than we were before. Maybe you could talk about what's driving that variance?

大衛，讓我簡單談談這一點，因為我們正在談論財務前景。我認為今年你們的指導目標是大約 15 億美元的自由現金消耗，這比以前更高。也許您可以談談是什麼導致了這種差異？

And then as you look to next year, $6 billion of content amortization is a 20% growth rate year on year versus 50 this year. So we're seeing content costs grow slow, yet if you look at content obligations which are up $1 billion sequentially, or your free-cash-flow guidance, which I think was -- it used to be similar next year to this year, the gap seems to be widening between amort and cash. Maybe you could just talk about what's driving that, if I have that right.

展望明年，60 億美元的內容攤銷將年增 20%，而今年為 50%。因此，我們看到內容成本增長緩慢，但如果你看看內容義務連續增加了 10 億美元，或者你的自由現金流指導，我認為明年與今年的情況類似，攤銷和現金之間的差距似乎正在擴大。如果我沒說錯的話，也許你可以談談是什麼推動了這個趨勢。

Yes, a little bit right, I would correct a few points in there, but I would say our former guidance for free cash flow was around a negative $1 billion, $1.2 billion, and now we're saying $1.5 billion for this year. It's a little, it's uncertain next year what that number might be, but I'd be surprised if it grows on a quarterly basis.

是的，有點正確，我會糾正其中的一些觀點，但我想說的是，我們之前對自由現金流的指導約為負 10 億美元、12 億美元，現在我們說今年為 15 億美元。有點，明年這個數字可能是多少還不確定，但如果它按季度增長，我會感到驚訝。

So I would say as we're able to raise operating income, we'll be able to fund more of that organically. So we should be able to take more of that inside in terms of and reduce our free cash flow. But I want to give some wiggle room for the scale of the business. If we're successful and if we grow faster than we expect, we could expand our content even more than what we consider we would do today. So there's a little bit of matching that to the scale growth of the business, how successful we are, how big the business we are growing internationally.

所以我想說，當我們能夠提高營業收入時，我們將能夠有機地為更多的資金提供資金。因此，我們應該能夠將更多的資金納入內部並減少我們的自由現金流。但我想為業務規模留出一些迴旋餘地。如果我們取得成功，而且成長速度比我們預期的要快，我們的內容擴展甚至可能比我們今天所認為的還要多。因此，這與業務的規模增長、我們的成功程度、我們在國際上發展的業務有多大相匹配。

And I would say in terms of the commitment number, that number is up to 14.2 from the 13s before, and that has a lot to do with the expansion of our originals, our licensed originals, and our international. So we launched the rest of world in January of this year. We continue to add content to all of our international markets as well, so you're seeing that grow. I would expect that to somewhat moderate in the 18-24 month period as we go forward. We don't have another international launch to layer on to that, but we are expanding the business, so you've got two forces there counteracting each other. But in terms of our -- go ahead.

我想說的是，就承諾數量而言，這個數字從之前的13個上升到了14.2個，這與我們的原創、我們的授權原創和我們的國際化有很大關係。因此，我們在今年一月向世界其他地區推出了這項服務。我們也繼續為所有國際市場添加內容，因此您會看到這種成長。我預計隨著我們的進展，這種情況在 18-24 個月期間會有所緩和。我們沒有另一個國際發布可以在此基礎上進行，但我們正在擴展業務，因此有兩種力量相互抵消。但就我們而言——繼續吧。

Ted, maybe you can go through a little bit when we do the self-produced content like Stranger Things, all of the advantages to it for the business, despite the increased use of cash?

泰德，也許你可以回顧一下當我們製作像《怪奇物語》這樣的自製內容時，儘管現金使用量增加，但它對業務的所有優勢？

Yes, absolutely. I think when we see something like Stranger Things come across, there's the simple one, which is it doesn't come with the studio markup that's attached to it that is just purely expenses not on screen, and the other is much more flexibility in terms of the rights that we have and the rights and how we exploit and how we continue to maintain exclusivity where we're not seeing the content against our wishes go into other markets in the syndication and DVD and others. And we're able to produce it at a very high quality and also much more efficiently. So to the extent that we can do that, while it does require more cash upfront to fund the development process versus a studio who would take that on, we find it's a great tradeoff for cash.

是的，一點沒錯。我認為當我們看到像《怪奇物語》這樣的東西時，有一個簡單的原因，那就是它沒有附加工作室標記，這只是純粹的費用，而不是螢幕上的費用，另一個是在術語上更靈活我們擁有的權利以及我們如何利用這些權利以及我們如何繼續保持排他性，這樣我們就不會看到違背我們意願的內容進入聯合組織和 DVD 等其他市場。我們能夠以非常高的品質和更有效率的方式生產它。因此，就我們能夠做到這一點而言，雖然與願意承擔這項任務的工作室相比，它確實需要更多的前期現金來為開發過程提供資金，但我們發現這是一個很好的現金權衡。

And to reconcile back to, just to reconcile back to your question, some of that was already reflected in our forecasting and in our guidance. But I would say as we get better and we exercise that muscle of our own production, more of that is reflected in our pipeline. So you're seeing that number, that $1.2 billion number float up to $1.5 billion.

回到你的問題，其中一些已經反映在我們的預測和指導中。但我想說，隨著我們變得更好，並鍛鍊我們自己的生產能力，更多的東西會反映在我們的管道中。所以你看到這個數字，12 億美元的數字浮動到 15 億美元。

And Ted, there was a comment in the letter where you were talking about your recent acquisitions like Quantico, and designated survivor where you talked about ensuring early financing, so I'm just trying to connect David's point and Ted's point. Are you talking about providing early financing to studio partners in exchange for better windowing globally? Is that what that comment is related to, and then maybe that's impacting the free-cash-flow timing?

特德（Ted），信中有一條評論，你談到了最近收購的 Quantico，以及指定倖存者，你談到了確保早期融資，所以我只是想把大衛的觀點和特德的觀點聯繫起來。您是否正在談論向工作室合作夥伴提供早期融資以換取更好的全球窗口？這是否與該評論相關，然後可能會影響自由現金流時間？

Nothing that's been done to date; it's basically just setting the table. There's a bunch of other different ways that you get involved as a production partner with our studio partners versus a second-window buyer. And some of that would include securing financing rather than having the studios continue to pursue deficit finance models.

到目前為止還沒有做任何事情；基本上只是擺桌而已。作為製作合作夥伴，您可以透過多種方式參與我們工作室合作夥伴的活動，而不是作為第二窗口買家。其中一些包括確保融資，而不是讓工作室繼續追求赤字融資模式。

Got it.

知道了。

600 hours of original content in 2016 is going to 1,000 hours in 2017. I think, David, you recently said at a conference that you're about one-third to a half of the way to the 50/50 split between original and third-party content. Where would that 1,000 hours put you in 2017?

2016 年600 小時的原創內容將在2017 年增加到1,000 小時。大衛，我想你最近在一次會議上說過，你的原創內容和第三方內容之間的比例為50/50，目前已完成三分之一到一半-派對內容。 2017 年，這 1,000 小時會讓你做些什麼？

Well, it's a combination of Ted and I, so I'll pass it to Ted in a second, but I would say we don't have a target. My comment about 50% was more grounding people towards the earlier comments that we made about 20% or 30%. So I'd say we like what we see in terms of the engagement on our originals, so we're continuing to expand them and so we're going to keep growing them. We don't have a magic target, though, that we're trying to hit. It's more about continued expansion and that mix of our content being more of originals and less of licensing but we're still expanding both, licensing content is still expanding. Ted, if you want to add to that.

嗯，這是 Ted 和我的組合，所以我稍後會將其傳遞給 Ted，但我想說我們沒有目標。我對 50% 的評論讓人們更認同我們先前發表的關於 20% 或 30% 的評論。所以我想說，我們喜歡我們在原創作品中所看到的參與度，因此我們將繼續擴展它們，因此我們將繼續發展它們。不過，我們並沒有想要實現的神奇目標。更多的是關於持續擴展，我們的內容更多是原創，更少是授權，但我們仍在擴展兩者，授權內容仍在擴展。特德，如果你想補充的話。

Well said. I would just say, to your point, the license business, while as a percentage of business will shrink. As an absolute number, it will continue to grow for the next couple of years. And there isn't a magic target, to David's point. What we want to do is have really great, compelling, and differentiated programming for our members. And we get there through original programming when we do it successfully, so we just want to keep steering the business that way.

說得好。我只想說，就你的觀點而言，許可業務雖然佔業務的比例將會萎縮。從絕對數字來看，未來幾年它將繼續成長。在大衛看來，並不存在一個神奇的目標。我們想要做的是為我們的會員提供真正精彩、引人注目且差異化的節目。當我們成功地做到這一點時，我們會透過原創程式來實現這一目標，所以我們只想繼續以這種方式引導業務。

Do you have any targets for the original content that is produced by your own studio in terms of the ratio that is ultimately produced by your own studio versus licensed originals?

對於自己工作室製作的原創內容最終由自己工作室製作與授權原創內容的比例，您是否有任何目標？

No, similarly what we're trying not to do is get trapped in the business model to making creative choices. Meaning that sometimes someone else owns the IP and you want to do what's right by the viewer by giving them great things to watch, and the only way to do that is to do that through a third-party license deal.

不，同樣，我們試圖不做的是陷入商業模式中以做出創造性的選擇。這意味著有時其他人擁有 IP，而您希望透過為觀眾提供精彩的內容來做對他們有利的事情，而做到這一點的唯一方法就是透過第三方授權協議來做到這一點。

Our financial preference, of course, is to produce it through our studios. And when that opportunity will continue to present itself, we're going to increasingly do that as well. But we're not locking into a formula of how much of the programming has to be self-produced versus third-party license.

當然，我們的財務偏好是透過我們的工作室製作它。當這個機會繼續出現時，我們也將越來越多地這樣做。但我們並沒有鎖定多少程式必須自行製作與第三方許可的公式。

Exactly.

確切地。

Ted, I just want to stick with you here for a minute on the content side. Stranger Things and The Get Down are interesting content examples over the summer that got a lot of attention. I believe The Get Down was quite expensive. Didn't seem to get the same size audience as Stranger Things, which I believe was less expensive and attractive economics.

泰德，我只想在內容方面和你聊一分鐘。 《怪奇物語》和《The Get Down》是今年夏天有趣的內容範例，引起了許多關注。我相信《The Get Down》的價格相當昂貴。似乎沒有像《怪奇物語》那樣吸引同樣多的觀眾，我認為《怪奇物語》的成本更低，而且經濟效益也更有吸引力。

Why, when you look at The Get Down, is that a good investment for you given the ticket size? And I think you renewed it for a second season. What is that doing for your business that maybe we might be missing or the popular press is missing?

為什麼當您觀看《The Get Down》時，考慮到票價，這對您來說是一筆不錯的投資嗎？我認為你續訂了第二季。它對您的業務有什麼作用，而我們可能忽略了或大眾媒體忽略了？

Well, what's still to come is the second half of the first season, so that's still coming up. We're excited about how it got started. Yes, it's an expensive piece of television, mostly because it's very large-scale, cinematic. The reason why Baz Luhrmann's films work around the world is that kind of attractiveness. So we're still seeing how it's going to unfold for the first season.

嗯，接下來是第一季的後半段，所以還是會出現。我們對它是如何開始的感到興奮。是的，這是一部昂貴的電視劇，主要是因為它的規模非常大，具有電影感。巴茲魯曼的電影之所以能在世界各地受到歡迎，就是因為有這樣的吸引力。所以我們仍在關注第一季將如何展開。

And all the shows land at a different level of noise in the press, and probably depending on what circles you run in, whether or not your friends are talking about it. But we've been really very excited about how the show has been performing, particularly in the quarter where we had four shows that turned out to be big event programs for us.

所有節目在媒體上的關注程度都不同，這可能取決於你所在的圈子，無論你的朋友是否在談論它。但我們對節目的表現感到非常興奮，特別是在這個季度，我們舉辦了四場演出，結果對我們來說是大型活動節目。

You've commented before that output deals and pay-one deals from a timing perspective are suboptimal, but at the same time, you said really nice things about Disney's product over the years and how they work on your platform. How is the pay-one deal performing versus expectations? You happy with it? I believe it's a relatively short-term deal. Is it something you think you'd like to do more of over time with Disney?

您之前評論過，從時間角度來看，產出交易和付費交易並不是最理想的，但與此同時，您對迪士尼多年來的產品以及它們如何在您的平台上運作表示了非常好的評價。一次性付款交易的表現與預期相比如何？你滿意嗎？我相信這是一項相對短期的交易。您認為隨著時間的推移，您願意與迪士尼一起做更多的事情嗎？

Look, I think that we expected it to be a very popular content and it's turning out to be. So Zootopia was the first really high profile film to come through. And it's performing in huge numbers, because it's great kids viewing beyond being great movie viewing.

看，我認為我們預計它會成為非常受歡迎的內容，事實證明它確實如此。所以《瘋狂動物城》是第一部真正高調的電影。它的表演數量巨大，因為它不僅是精彩的電影觀賞，還為孩子們帶來了精彩的觀看體驗。

And the Disney brand, different than any other studio, can deliver that kind of tent-pole kids programming that the family loves. And as long as it continues to perform at those levels, we look to expand it with Disney, but I don't think any other studio really can match that output and match those economics, and therefore, deliver that viewing. So we're going to still look for -- look opportunistically at films that are available for that window, but really continue to put energy behind our original film initiative as well.

與其他工作室不同，迪士尼品牌可以提供家庭喜愛的支柱兒童節目。只要它繼續保持在這些水平上的表現，我們就希望與迪士尼一起擴展它，但我認為沒有任何其他工作室真正能夠與這種輸出和經濟相匹配，因此能夠提供這種觀看效果。因此，我們仍將尋找機會主義地尋找可用於該窗口的電影，但也真正繼續為我們最初的電影計劃投入精力。

In some countries, we have the Disney movie output, Australia, Canada, US. But in other countries like in the UK, we lost the bidding to Sky about two years ago. So it really varies by market. We're one of the bidders, and we hope to, over time, be one of the biggest bidders so they choose us, but it really does vary by market.

在一些國家，我們有迪士尼電影的產出，澳洲、加拿大、美國。但在英國等其他國家，我們大約兩年前輸給了天空電視台。所以它確實因市場而異。我們是競標者之一，我們希望隨著時間的推移，成為最大的競標者之一，以便他們選擇我們，但這確實因市場而異。

Thank you.

謝謝。

Reed, its been speculated in the media that downloading offline viewing may become available on Netflix by the end of 2016. Can you provide any insights or clarity on that speculation?

Reed，有媒體猜測 Netflix 可能會在 2016 年底提供下載離線觀看服務。您能否對此猜測提供任何見解或澄清？

Yes, what we've said this year is we're open to it, it's something we're looking at but we have nothing more specific to offer.

是的，我們今年所說的是我們對此持開放態度，這是我們正在考慮的事情，但我們沒有什麼更具體的可提供的。

And then secondly, password sharing in the US, you have plans in place that limit that. Just interested still in the enforcement of password sharing in the US in terms of limiting that currently and in the future. And then similarly, with VPN networks within the international business, your views of that in terms of accessing content outside of countries that have certain geographic rights.

其次，在美國的密碼共享，你已經制定了限制的計畫。只是對美國密碼共享的強制執行感興趣，以限制當前和未來的密碼共享。同樣，對於國際業務中的 VPN 網絡，您對訪問具有特定地理權利的國家/地區之外的內容的看法。

Well, I think we've been very successful at finding technological ways of inhibiting the cross-border VPNs, which is roughly, like I'd mentioned, we didn't win the bidding for the Disney movies in the UK, so it's clearly not fair to allow our UK subscribers to watch the Disney movies from Canada or to the US. And so we found, with the help of the studios, some more technology that enforced their rights.

嗯，我認為我們在找到抑制跨境 VPN 的技術方法方面非常成功，就像我提到的，我們沒有贏得英國迪士尼電影的競標，所以很明顯允許我們的英國訂閱者從加拿大或美國觀看迪士尼電影是不公平的。因此，在工作室的幫助下，我們發現了更多的技術來維護他們的權利。

And we try to get global rights for everything, like How to Get Away with Murder from ABC, because then it's available to everyone, which is clearly what consumers want. In terms of -- what was the other question you had?

我們試圖獲得所有內容的全球版權，例如 ABC 的《逍遙法外》，因為這樣每個人都可以使用它，這顯然是消費者想要的。就——你的另一個問題是什麼？

Password sharing?

密碼共享？

No plans on making any changes there. Password sharing is something you have to learn to live with, because there's so much legitimate password sharing like, you know, you sharing with your spouse, with your kids, so there's no bright line and we're doing fine as is.

沒有計劃在那裡進行任何更改。密碼共享是您必須學會忍受的事情，因為有很多合法的密碼共享，例如您與配偶、孩子共享的密碼，因此沒有明確的界限，我們照樣做得很好。

Reed, just sticking with the theme of Disney, Bob Iger made some interesting comments a couple weeks ago, talking about how his bountiful list of brands, ABC, Pixar, Marvel, may not be enough in the future and that distribution -- figuring out distribution was important to him. Do you have any reaction to that? Does it seem to be aimed at over the top, and he does have a relationship with Hulu, which is a potential -- a competitor and maybe a bigger competitor over time. But do you have any reaction to those comments?

里德（Reed），鮑勃·艾格（Bob Iger）只是堅持迪士尼的主題，幾週前發表了一些有趣的評論，談論他豐富的品牌清單，ABC，皮克斯，漫威，在未來可能還不夠，而且分佈- 弄清楚分配對他來說很重要。你對此有何反應？這似乎是為了超越，他確實與Hulu有關係，這是一個潛在的競爭對手，隨著時間的推移，也許會成為一個更大的競爭對手。但你對這些評論有何反應？

No, they have a great strategy. They've got Hulu, they've got the Major League Baseball initiative, where they bought some of that. And then, of course, they've got Disney Life, which they operate in a number of countries. So it makes a ton of sense for them to be growing in the OTT side and to figure that out, as it does for us to do content. And I think you'll see more -- you saw CBS All Access in the last two years really become a big focus for CBS, so it's just continuation of that theme.

不，他們有一個偉大的策略。他們有Hulu，他們有美國職棒大聯盟的倡議，他們在那裡購買了其中的一些。當然，他們還有迪士尼生活，他們在許多國家都有經營。因此，對他們來說，在 OTT 領域發展並解決這個問題是非常有意義的，就像我們做內容一樣。我想你會看到更多——你看到過去兩年 CBS All Access 確實成為 CBS 的一大焦點，所以這只是該主題的延續。

Ted, just somewhat related here, I realize this is hypothetical, but access to content, it's a big debate for Netflix. And I'm curious if you thought being part of a larger media Company would inhibit your ability to acquire content from others in the industry or competitors to that kind of a Company?

泰德（Ted），只是與這裡有些相關，我意識到這是假設的，但內容的獲取，這對 Netflix 來說是一個大爭論。我很好奇，您是否認為成為大型媒體公司的一部分會抑制您從業內其他公司或此類公司的競爭對手那裡獲取內容的能力？

Like I said in previous quarters, this kind of frenemy model has existed for decades in television, where competing studios produce for one other constantly. And it's really the question I think that our suppliers will have to make when they're making decisions around their expansion over the top is, can they make better returns selling to Netflix or building their own thing? And that's both a long-term and short-term question and currently, hypothetical.

就像我在前幾個季度所說的那樣，這種亦敵亦友的模式在電視領域已經存在了幾十年，相互競爭的製片廠不斷地為彼此製作作品。我認為我們的供應商在做出有關過度擴張的決策時必須做出的問題是，他們透過向 Netflix 銷售產品或建立自己的產品能否獲得更好的回報？這既是長期問題，也是短期問題，而且目前還只是假設。

Thank you.

謝謝。

Reed, just following up on competitor comments, Jeff Bezos recently made a comment that possibly Amazon Video could be the fourth pillar of Amazon's business. And I was just wondering how you think about, you have such an extensive lead in this global buildout, how you think about Amazon long term as a competitor and Mr. Bezos' comments there?

里德，在跟進競爭對手的評論後，傑夫貝佐斯最近發表評論稱，亞馬遜影片可能會成為亞馬遜業務的第四大支柱。我只是想知道您如何看待，您在全球擴張中擁有如此廣泛的領先優勢，您如何看待亞馬遜作為競爭對手的長期競爭以及貝佐斯先生的評論？

Well, we think about it as share of screen time, and when people are doing other things with their screens, be they mobile or television screens, they're not doing Netflix. So Snapchat, YouTube, Facebook video, all of that takes a lot of hours, probably much more so than Amazon.

好吧，我們將其視為螢幕時間的份額，當人們用螢幕做其他事情時，無論是手機螢幕還是電視螢幕，他們並不是在看 Netflix。因此，Snapchat、YouTube、Facebook 視頻，所有這些都需要花費大量時間，可能比亞馬遜多得多。

But there are so many competitors out there for screen time and we win today such a small percentage of total screen time that moves by specific competitors are unlikely to have a material effect. What affects us is can we continue to win affection? And that's through doing all of this incredible content, through expanding globally, having all those rights be global eventually. So those are the things we're focused on.

但在螢幕時間方面，有太多的競爭對手，而我們今天贏得的螢幕時間只佔總螢幕時間的一小部分，因此特定競爭對手的舉動不太可能產生實質影響。影響我們的是我們能否繼續贏得感情？這就是透過製作所有這些令人難以置信的內容，透過在全球擴張，最終讓所有這些權利成為全球性的。這些就是我們關注的重點。

David, you commented in the letter about going to market for acquiring more debt in coming weeks. You also mentioned at a conference recently that you thought the business was under-levered. You mentioned a 5%, I think, debt-to-cap ratio. How do you think about debt longer term in terms of what that looks like and how you think about it, is it net debt to EBITDA or otherwise?

大衛，你在信中評論說，未來幾週將進入市場購買更多債務。您最近還在一次會議上提到，您認為該業務槓桿率不足。我認為你提到了 5% 的債務上限比率。您如何看待長期債務，它是 EBITDA 的淨債務還是其他債務？

Yes, my comments at the Goldman Sachs conference, about a 20% debt rate or a long-term optimization of cost of capital. I don't think we're talking about by the end of the year getting to a 20% leverage ratio. So just to talk about a shorter term or a medium term, we would be looking to raise as needed in terms of funding our content expansion. So we've been pretty clear along the year that we would go to market sometime this year to add a modest amount of debt to the balance sheet, and then do that on a recurring basis, as needed, to fund our content expansion.

是的，我在高盛會議上的評論，關於20%的債務率或資本成本的長期最佳化。我認為我們並不是在談論到今年年底槓桿率達到 20%。因此，就短期或中期而言，我們將尋求根據需要籌集資金來資助我們的內容擴展。因此，我們今年一直非常明確，我們將在今年某個時候進入市場，在資產負債表上增加適量的債務，然後根據需要定期這樣做，為我們的內容擴張提供資金。

So over time, though, we anticipate that we could get and would optimize our cost of capital up to a 20% leverage ratio. And we're talking about a debt-to-market cap at that point. But I think we would be closer to a EBITDA basis as well, because the business is going to be growing in operating income and EBITDA.

因此，隨著時間的推移，我們預計我們可以獲得並將資本成本優化至 20% 的槓桿率。那時我們正在討論債務市值比。但我認為我們也會更接近 EBITDA 基礎，因為該業務的營業收入和 EBITDA 將會成長。

David, you guys recently localized your first batch of rest-of-world markets. I believe it was Poland and Turkey, and it sounds like that's been successful in driving growth in those markets. The obvious question would be why not move faster on localization? You've got a lot of recent rest-of-world launches. Is that a cost-benefit analysis or human bandwidth throttle? What is keeping you from moving quicker and what's the right pace for us to think about in 2017?

大衛，你們最近對第一批世界其他市場進行了在地化。我相信是波蘭和土耳其，聽起來似乎成功地推動了這些市場的成長。顯而易見的問題是為什麼不在本地化方面加快步伐？您最近在世界其他地區發布了許多產品。這是成本效益分析還是人力頻寬限制？是什麼阻礙了您加快步伐？2017 年我們應該考慮的正確步伐是什麼？

Dammit, move faster. I think it's a quality aspect, right? In terms of we want to make sure we have an eye towards quality as well. We had a couple of rough blog entries about some of our localization and subtitling in some markets, so we pay attention to those.

該死的，動作快一點。我認為這是一個品質方面，對嗎？就我們而言，我們希望確保我們也專注於品質。我們有一些關於我們在某些​​市場的本地化和字幕的粗略部落格文章，因此我們會關注這些內容。

So we're moving as quickly as we can, being methodical and thoughtful about those opportunities to localize. And yes, we are pleased with both Poland and Turkey in terms of those impacts. It makes sense people want to consume in their language. And so it's not going to make sense to localize in a super small territory, but for the larger territories, it's going to make sense. And even for the medium-size territories, we'll get there eventually; I think it's just a matter of sequencing.

因此，我們正在盡快採取行動，對這些本地化機會保持系統性和深思熟慮。是的，我們對波蘭和土耳其的這些影響感到滿意。人們想要用自己的語言進行消費是有道理的。因此，在一個超小的地區進行本地化是沒有意義的，但對於更大的地區來說，這是有意義的。即使對於中等規模的地區，我們最終也會實現這一目標；我認為這只是一個順序問題。

And just to come back to maybe more of the short term, you had talked earlier this year about Australia and New Zealand being a difficult comp, I believe in Q2. You've called out in the letter Q4 comp of Spain, Portugal, Italy. Is there any way to put that fourth-quarter comp and the second-quarter comp in some context, just thinking of order of magnitude?

回到短期來看，你今年早些時候曾談到澳洲和紐西蘭是一個困難的比賽，我相信在第二季。你在第四季的信中提到了西班牙、葡萄牙、義大利的比賽。有沒有辦法將第四季的比較和第二季度的比較放在某種背景下，只考慮數量級？

Again, back to Reed's earlier comments about for competitive reasons, we don't talk specifics about our markets, I probably wouldn't. But I would say that there is a harvesting of demand initially when we launch in a market. It's that first launch quarter that we tend to have higher net additions, and then that moderates over time into a run rate that's a little bit more normalized.

再次回到里德早些時候的評論，出於競爭原因，我們不談論我們市場的細節，我可能不會。但我想說的是，當我們進入市場時，最初的需求會增加。在第一個發布季度，我們往往會有更高的淨增量，然後隨著時間的推移，運行率會逐漸趨於正常化。

We have the same thing going on that we highlighted in Q1 where we have rest of world in the first quarter of this year was a large number. And when I look at Wall Street's estimates for Q1, they're higher. I think they're not taking that into account. So we wanted to call that out so that folks had the benefit of anticipating that.

我們在第一季強調了同樣的事情，今年第一季世界其他地區的數量很大。當我查看華爾街對第一季的預期時，發現它們更高。我認為他們沒有考慮到這一點。所以我們想指出這一點，以便人們能夠從預期中受益。

Any other Wall Street estimates you'd like to call out?

您還想提及其他華爾街的估計嗎？

Just the growing operating income and just the fact that I think Q1 was a little high relative to our expectations.

只是營業收入不斷成長，而且我認為第一季相對於我們的預期有點高。

Got you. Thank you.

明白你了。謝謝。

Ted, as you look at localized content and new markets, how easy or difficult is it to find the talent in those markets to produce the content? How successful have you been there?

Ted，當您考慮在地化內容和新市場時，在這些市場中找到製作內容的人才有多容易或多困難？你在那裡有多成功？

And along that same topic, how do you think about some of these newer markets in terms of how much of that content ultimately will need to be localized to create that S-curve inflection in some of the markets that were launched in 2016?

沿著同一主題，您如何看待這些較新的市場，即最終需要本地化多少內容才能在 2016 年推出的一些市場中創造 S 曲線拐點？

In terms of successes to date, Club de Cuervos, our first Mexican original, was quite successful, and we're getting ready to bring out the second season. Marseille for our French customers, not only successful in France but successful throughout Europe, and got a significant amount of watching in the United States subtitled and dubbed in English. And so we're continuing to push.

就迄今為止的成功而言，我們的第一部墨西哥原創作品《Club de Cuervos》相當成功，我們正準備推出第二季。為我們的法國客戶製作的《馬賽》不僅在法國取得了成功，而且在整個歐洲也取得了成功，並在美國獲得了大量的觀看次數，並配有英語字幕和配音。因此，我們將繼續努力。

It's not degrees of difficulty; it's just a matter of understanding the production community and the local taste and whose work and making great films in those markets in some cases and are anxious to make the migration to television that they've been seeing happening in the US. And so it's difficult in terms of not being on the ground there usually. But I think we're making tradeoffs in terms of the Company culture to travel our folks into territory, get to know the folks in the markets, work with the best and brightest filmmakers and television creators and bring their shows to the global market through Netflix.

這不是難度的大小，而是難度的大小。這只是了解製作界和當地品味的問題，以及他們在某些情況下在這些市場上的作品和製作出色的電影，並渴望將其遷移到他們在美國看到的電視上。因此，通常不在現場是很困難的。但我認為我們正在公司文化方面做出權衡，讓我們的員工深入不同地區、了解市場中的人們、與最優秀、最聰明的電影製作人和電視創作者合作，並透過Netflix 將他們的節目推向全球市場。

And in terms of localizing for taste, in many parts of the world, US content or English-speaking content localized into local languages has been incredibly successful. In some places where the tastes run much more local, like Japan, like India, certainly we'll take more of a local approach in terms of licensing and producing more local language content there as well. But I think over time that the taste will fall into line with the desire to see the big, spectacular shows that people are talking about around the world, no matter where you are.

在口味在地化方面，在世界許多地方，美國內容或英語內容在地化為當地語言已經取得了令人難以置信的成功。在一些口味更在地化的地方，例如日本、印度，我們當然會在授權方面採取更多在地化方法，並在那裡製作更多本地語言內容。但我認為，隨著時間的推移，這種品味將與觀看世界各地人們正在談論的大型、壯觀表演的願望相一致，無論你身在何處。

And Ted, maybe you could give them some color on Dark, [Sboda], Cable Girls, in terms of being content that may spread beyond their home market?

泰德（Ted），也許你可以給他們一些關於《黑暗》（Dark）、[Sboda]、《有線電視女孩》（Cable Girls）的色彩，讓他們的內容可能傳播到他們的本土市場之外？

Yes, absolutely. What we try to do, we're producing, to Reed's point, we're producing a show right now that just went into production literally today called Dark in Germany. It's with quite a successful filmmaker whose films have traveled around the world. We've been in the business of buying those films from those filmmakers and making them travel around the world for years, so I think that will continue with the move into multi-episodic series as well.

是的，一點沒錯。我們正在嘗試做的事情是，我們正在製作，就里德的觀點而言，我們現在正在製作一部今天剛投入製作的節目，名為《德國的黑暗》。這是一位相當成功的電影製片人的作品，他的電影已經遍布世界各地。多年來，我們一直致力於從這些電影製片人那裡購買這些電影，並讓它們在世界各地巡迴演出，所以我認為，隨著多集劇集的發展，這種情況也將繼續下去。

So we get that scale advantage of being able to take a German show that the German audiences will be very excited about and that we know that that will expand throughout Europe, and that we've been really great at finding audiences, even in the US in subtitles and dubs, which has been a really a niche business for most people but very mainstream numbers for us.

因此，我們獲得了能夠舉辦德國觀眾非常興奮的德國節目的規模優勢，而且我們知道這將擴展到整個歐洲，而且我們在尋找觀眾方面非常出色，甚至在美國也是如此字幕和配音，這對大多數人來說確實是小眾產業，但對我們來說卻是非常主流的數字。

Going back to David's comment about the difficult first-quarter comp internationally. You had 130 markets that launched at the beginning of 2016, so it's obvious what the comp issue is. But also in your business, you have that initial wave, but then you have things like localized content, awareness, and other factors that actually drive, as an example, in the Latin American market, an inflection that happened two to three years after the initial launch. So as we look at 1Q 2017 and then think about the 130 new Markets, how do we think about that initial bump relative to the potential of these new markets actually beginning to really kick in throughout the year in 2017?

回到大衛對國際上艱難的第一季比較的評論。 2016 年初推出了 130 個市場，因此競爭問題顯而易見。但在你的業務中，你也有最初的浪潮，但隨後你有諸如本地化內容、意識和其他因素之類的因素，這些因素實際上推動了拉丁美洲市場的變化，例如，在拉丁美洲市場發生了兩到三年後發生的轉變。初始啟動。因此，當我們回顧 2017 年第一季度，然後考慮 130 個新市場時，我們如何看待相對於這些新市場在 2017 年全年開始真正發揮作用的潛力的最初增長？

Well as you say, they do -- one is going positive in terms of growth of growth, and one is negative in terms of initial launch. And what I was trying to call out without actually providing our Q1 guide until January was back in January of this year, I tried to moderate the estimates or the expectations coming out of our global launch. We had a very successful launch in Q1; we had a lot of demand associated with that launch that started moderating into Q2, and I think people saw the success of Q1 and really raised their numbers in Q2.

正如你所說，它們確實如此——一種在成長成長方面是積極的，而一種在初始啟動方面是消極的。直到今年 1 月才真正提供我們的第一季指南，我試圖指出這一點，我試圖緩和我們全球發布的估計或預期。我們在第一季的發布非常成功；我們有很多與該發布相關的需求，這些需求在第二季度開始放緩，我認為人們看到了第一季度的成功，並在第二季度真正提高了他們的數量。

And I'm trying to get a little bit ahead of that in the sense that we had a very successful launch in Q1 of this year that is going to be very difficult to replicate. Some of that was pent-up demand, and we're not going to be able to do that. That's not saying that we're -- many of our other markets are growing in terms of the growth. It's just right now in terms of what we see, that large launch is going to overwhelm some of the growth of the other markets.

我正試圖領先一點，因為我們在今年第一季非常成功地推出了這一產品，而這將很難複製。其中一些是被壓抑的需求，我們無法做到這一點。這並不是說我們的許多其他市場正在成長。現在就我們所看到的情況而言，大規模的發布將壓倒其他市場的一些成長。

So we still like what we're seeing in these markets. We're growing year on year in some, some moderate. We've had very different -- a wide variety of results across markets. We've had markets that slow down and then accelerating growth. And so if you abstract back, I think the general trend is the world is embracing Internet television and we're riding on a very strong tailwind of technological change, and that is definitely intact.

所以我們仍然喜歡我們在這些市場中看到的情況。我們在某些​​方面逐年成長，有些溫和。我們在各個市場上取得了非常不同的結果。我們經歷過先放緩後加速成長的市場。因此，如果你抽象回來，我認為總的趨勢是世界正在擁抱網路電視，我們正乘著科技變革的強勁順風，這絕對是完好無損的。

Thank you.

謝謝。

David, any color on how the 2014 markets are ramping or at least France and Germany in particular. I think there's been some concern in the marketplace that France isn't going well. I think you closed an office there. And in Germany, Amazon seems to be doing quite well. So if you can just talk about how the model may or may not be working well in those 2014 markets?

David，請問您對 2014 年市場的發展有何看法，尤其是法國和德國市場的發展。我認為市場上有人擔心法國的發展不順利。我認為你關閉了那裡的一間辦公室。在德國，亞馬遜似乎做得相當不錯。那麼您能否談談該模型在 2014 年的市場中是否運作良好？

Let me disconnect one thing there in terms of we did choose to consolidate some of our French staff into our Amsterdam staff, but that had nothing to do with the market, whether the market was growing or not. That had everything to do with the synergy of communication and how the teams are working together.

讓我斷開一件事，我們確實選擇將一些法國員工合併到阿姆斯特丹員工中，但這與市場無關，無論市場是否有成長。這與溝通的協同作用以及團隊的合作方式密切相關。

And then in terms of the other markets, again, we don't say much specifically about our markets for competitive reasons. But you would have to take my earlier comment about the fact that we saw very broad out-performance relative to expectations in this quarter or in Q3 that would be inclusive of those markets. So I think we're pleased with how things are going.

然後就其他市場而言，出於競爭原因，我們並沒有具體談論我們的市場。但你必須接受我先前的評論，即我們看到本季或第三季（包括這些市場）的表現相對於預期非常廣泛。所以我認為我們對事情的進展感到滿意。

Great. Shifting gears back to you, Ted. You hired, I hope I'm pronouncing this right, Bela Bajaria from NBC recently, and one of her mandates is unscripted. So I'm just wondering, is unscripted going from something that you have a couple of bets in to something more strategic for you? When you think about 600 hours to 1,000, how much is unscripted driving growth? Is it a material part of the plan for next year and why?

偉大的。泰德，把話題轉回你身上。你最近聘請了 NBC 的貝拉·巴賈裡亞（Bela Bajaria），我希望我的說法是正確的，她的任務之一是即興的。所以我只是想知道，無劇本是否會從你有幾個賭注的事情變成對你來說更具戰略意義的事情？當你考慮 600 到 1,000 個小時時，即興發揮對成長的推動作用有多大？這是明年計劃的重要組成部分嗎？為什麼？

It's not a material part for next year, but I imagine it could be a -- it will be growing over the next several years. It's been -- it's an area of viewing that people around the world enjoy. The content travels well, it's efficient to produce.

這不是明年的實質部分，但我想它可能會在未來幾年內增長。它一直是世界各地的人們都喜歡的觀賞區域。內容傳播良好，製作效率高。

The current sources of second-window, unscripted programming are under a great deal of pressure from the cable operators, not to sell their content off of their own universe because many of the episodes seem to be interchangeable. So being able to have a good, steady flow of high-quality unscripted programming is something we want to focus on, because I think we could do it well and efficiently and maybe elevated in a way that it will travel even more than it does today.

目前的第二個窗口、無腳本節目的來源面臨著有線電視營運商的巨大壓力，他們不能在自己的宇宙中出售他們的內容，因為許多劇集似乎是可以互換的。因此，能夠擁有良好、穩定的高品質無腳本節目流是我們想要關注的事情，因為我認為我們可以做得很好、高效，並且可能會以一種比今天更廣泛的方式得到提升。 。

And just if I could follow-up quickly on unscripted, it would seem to be not obvious for the on-demand bingeing consumption model. But maybe you've had some experience so far with some of your talk stuff or your comedies that maybe suggests it is. What can you tell us about that?

而如果我能快速跟進即興的內容，對於按需暴飲暴食的消費模式來說，這似乎並不明顯。但也許到目前為止，你在一些談話內容或喜劇方面的一些經驗可能表明確實如此。對此您能告訴我們什麼嗎？

There's certainly some benefits from the scale off of those shows. But our ability to produce -- remember, we have a lot of data and a lot of content that gets watched. And what travels and what doesn't, what gets repeated and what doesn't, and it gives us a higher degree of confidence today than we had a couple years ago in our ability or even desire to produce it in the space.

縮小這些節目的規模肯定有一些好處。但我們的生產能力——請記住，我們有大量數據和大量值得關注的內容。什麼會傳播，什麼不會，什麼會重複，什麼不會，這讓我們今天比幾年前對自己在太空中生產它的能力甚至願望更有信心。

But it is a segment of programming. We keep opening up new segments of programming the way we did with talk shows last year, the way we will in the first quarter with Ultimate Beastmaster, our first competition show. So we're pressing into some new areas of the business all the time to bring new, unique, elevated and differentiated programming to our members.

但這是程式設計的一部分。我們不斷開闢新的節目片段，就像我們去年在脫口秀節目中所做的那樣，就像我們在第一季推出我們的第一個競賽節目《終極獸王》一樣。因此，我們一直在進入一些新的業務領域，為我們的會員帶來新的、獨特的、提升的和差異化的節目。

Thank you.

謝謝。

Reed, investors get caught up a lot in the 60 million to 90 million household number in the US, and as an indicator or predictor for success in international markets over time. If you can do it in the US you can do it internationally, and if you can't you can't. You're running a little north of 4 million subscribers in 2016 from 5 million in 2015. How do you think about that business in terms of the trajectory in over, say the next one, three, five years in terms of how many subs that you can put on the business in the US on an annual basis?

Reed 表示，投資人非常關注美國 6,000 萬至 9,000 萬家庭的數量，並將其作為國際市場長期成功的指標或預測指標。如果你能在美國做到，你就可以在國際上做到，如果你不能，你也不能。 2016 年，您的訂閱用戶數比 2015 年的 500 萬略高一些。您如何看待該業務的發展軌跡，例如未來一年、三年、五年的訂閱用戶數量？您可以每年在美國開展業務嗎？

We have to take it year by year; it depends on how well we execute. Do we have more Stranger Things, where it breaks through and everyone feels like they've got to get in, Luke Cage, Get Down, Narcos. We have a show coming up, The Crown, that's some of the most impressive television I have ever seen. And so I think November 4, when you ask yourself about 60 million to 90 million, when you watch that show, it's going to seem quite achievable. But it all hangs on how well we execute and we're just going to work really hard on that front.

我們必須年復一年地接受它；這取決於我們執行得如何。我們是否還有更多的《怪奇物語》，它突破了界限，每個人都覺得他們必須參與進來，《盧克凱奇》、《Get Down》、《毒梟》。我們即將推出節目《王冠》，這是我見過的最令人印象深刻的電視節目之一。所以我認為 11 月 4 日，當你問自己大約 6000 萬到 9000 萬時，當你觀看那個節目時，這似乎是可以實現的。但這一切都取決於我們的執行情況，我們將在這方面非常努力。

Following along those lines, in terms of the relevance of content to drive subscribers, given that that's why subscribers watch the shows on Netflix, on a P&L basis anyway, the growth in content spend has begun to very much leverage relative to the growth in the digital revenue stream. And I'm just wondering, as we look at that in 2017, over 2016 and then 2018, 2019, and 2020, is that something that we can expect to continue into the future? Or is there a point in time at some level of spend at which you think you've built a complete enough portfolio that that leverage actually significantly accelerates?

沿著這些思路，就內容與吸引訂戶的相關性而言，鑑於這就是訂戶在Netflix 上觀看節目的原因，無論如何，在損益基礎上，內容支出的增長相對於內容支出的增長已經開始發揮很大的槓桿作用。數位收入流。我只是想知道，當我們回顧 2017 年、2016 年、然後 2018 年、2019 年和 2020 年時，我們可以期望這種情況在未來繼續下去嗎？或者，在某個支出水平上是否有某個時間點，您認為您已經建立了足夠完整的投資組合，以至於槓桿實際上顯著加速了？

No, we'll keep investing in growing the content spend, even domestically, for quite a long time. We see an ability to continue to please consumers with a wide range of content. And so, I think if you're trying to model the business long term, you should think of content and hours viewed and brand love, all as continuing up in the US and internationally for a long time. Let me take two more questions, one from each of you.

不，我們將在相當長的一段時間內繼續投資增加內容支出，即使是在國內。我們看到了透過廣泛的內容繼續取悅消費者的能力。因此，我認為，如果你想長期建立商業模型，你應該考慮內容、觀看時間和品牌喜愛度，所有這些都將在美國和國際上長期持續下去。讓我再回答兩個問題，每個人都問一個。

Great. I know we beat ungrandfathering to death last quarter, but if I can come back one more time before I sign off. David, you had talked last quarter about elevated churn, even among members that were not seeing a price increase. And I think this quarter, you talked about churn being generally in line with expectations. I just wanted to see if you had any color on that piece. Did the ungrandfathering noise continue to elevate churn?

偉大的。我知道上個季度我們把不祖父行為打敗了，但如果我能在下班前再回來一次的話。大衛，您在上個季度談到了客戶流失率上升的問題，即使在沒有看到價格上漲的會員中也是如此。我認為本季度，您談到了客戶流失率總體符合預期。我只是想看看你那件作品上有沒有顏色。不尊重的噪音是否會持續加劇顧客流失？

And then I'll just ask my follow-up. On the fourth quarter, I just want to confirm the only ungrandfathering we have left is the $1 cohort. Is that accurate?

然後我會問我的後續行動。在第四季度，我只想確認我們剩下的唯一不被尊重的是 1 美元群體。準確嗎？

So it's accurate on the last one. We have some older-generation devices that are difficult to message as well. So I think that defines the last few cohorts of people left. And then back to your primary question in terms of what did we see in the quarter relative to our expectations and relative to prior quarters and actuals? I would say, I mentioned earlier in the interview that we still see some effect from the ungrandfathering. So there is a bit off an overhang from the price change; it's starting to fade and we expect that to continue to fade. But we do think there's opportunity to improve that going forward in terms of next year.

所以最後一項是準確的。我們有一些老一代的設備也很難發送訊息。所以我認為這定義了剩下的最後幾批人。然後回到您的主要問題，即我們在本季度看到的相對於我們的預期以及相對於前幾季和實際情況的情況？我想說，我之前在採訪中提到，我們仍然看到了不祖父政策的一些影響。因此，價格變化帶來了一些懸而未決的影響；它開始消退，我們預計這種情況會繼續消退。但我們確實認為明年有機會改進這一點。

Thank you.

謝謝。

Reed, last one, an open-ended question. You've talked a lot historically about the opportunities in Internet TV and have been very right in terms of the direction that the industry has gone. With where your business is now, I was wondering if you can just share some updated views in terms of the way you think the industry progresses over the next 5, 10, 20 years in terms of what wins and what loses?

里德，最後一個，一個開放式問題。您曾經多次談論過網路電視的機遇，並且對於該行業的發展方向非常正確。就您目前的業務狀況而言，我想知道您是否可以分享一些最新的觀點，談談您認為行業在未來 5 年、10 年、20 年的發展方式，以及哪些是贏、哪些是輸？

We generally think of the growth of Internet TV like the growth of the mobile phone, that is fixed-line telephony was an amazing invention,100 years of development and brought incredible benefits to society and the same thing is true with linear TV; it's been an amazing innovation. But the age of linear is starting to fade and is going to be replaced by Internet. And those firms like the BBC or, CBS that's doing All Access, that invest heavily, I think will move into the future on Internet consumption.

我們一般認為網路電視的發展就像手機的發展一樣，即固定電話是一項了不起的發明，經過100年的發展，為社會帶來了難以置信的好處，線性電視也是如此；這是一項了不起的創新。但線性時代正開始消退，並將被網路取代。那些像 BBC 或 CBS 那樣進行 All Access 投資的公司，我認為它們將進入網路消費的未來。

I think you'll see Internet growth generally more broadband, fiber-optic to every village and town, those general trend lines. The growth, both of YouTube-type advertising-supported services, Facebook video, Snapchat. So you're just going to see these new scenarios everywhere. And eventually, movies and TV shows will be global, ubiquitous, some amazing budgets. So I think you have to think big about the future.

我想你會看到互聯網的增長普遍更加寬頻，光纖到每個村莊和城鎮，這些總體趨勢線。 YouTube 類廣告支援服務、Facebook 影片和 Snapchat 都在成長。所以你會隨處看到這些新場景。最終，電影和電視節目將走向全球、無所不在，而且預算驚人。所以我認為你必須為未來著想。

We're closing in on 100 million members, but I remind everyone at Netflix that Facebook and YouTube have 1 billion daily actives. And so in many parts, we're just so small compared to those other Internet video firms and we have a lot of catch up to do. And that's again, investing in our content and making it globally interesting and compelling, which we're working on. So there's a lot out there, but we just have to take it year by year and it's tremendous fun inventing the future.

我們的會員數即將達到 1 億，但我提醒 Netflix 的每個人，Facebook 和 YouTube 的每日活躍用戶數已達 10 億。因此，在很多方面，與其他網路視訊公司相比，我們的規模很小，而且我們還有很多工作要做。這又是我們正在努力投資我們的內容並使其在全球範圍內變得有趣和引人注目。那裡有很多東西，但我們只需要年復一年地接受它，創造未來是非常有趣的。

Thank you.

謝謝。

Thank you, gentlemen.

謝謝你們，先生們。