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What's the next thing to keep Netflix ahead of everyone else?

Having followed Netflix since 2003 they have the best management and employee talent culture of any company I have ever seen. This is a meta-narrative that helps to win even without any more obvious direct advantages.

But the main thing that keeps them ahead is probably the fact that you pay for a piece of content once but get to show it to all customers for free after that, so there is an intrinsic advantage to high subscriber counts. It's not quite the strength of Facebook or even Twitter in that regard but it's fairly durable.

The principal problem with Netflix is simply the total size of the addressable market. They are already valued as if they were attaining 30B$ or so revenue per year and a healthy profit margin. The total pay tv market is ~200B$. They will eventually reach the point where subscriptions for video can't get any bigger except for hard fought games against a long-tail of competition.

I no longer expect better than 15% annual returns, and have begun selling covered calls to boost that return.
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