Netflix Inc (NASDAQ:NFLX) chief executive Ted Sarandos has poured some cold water on recent speculation that the streaming group may look to carry premium sports content like the English Premier League as a weapon in its competitive battle with rival platforms.
Sarandos has said that the streaming service has not yet found a profitable path for live sports.
Speaking at the UBS Global TMT conference, Sarandos said that the economics of professional sports are built around television, and buying rights is expensive.
He noted that Netflix has been able to grow its subscriber base without live sports, and is confident it can double in size without them.
Sarandos said that Netflix is "not anti-sports, just pro-profit," and has yet to figure out how to make live sports profitable.
The likes of Disney (which owns Disney+, ESPN+ and Hulu), Warner (HBO Max) and Amazon Prime have quickly caught up and closed Netflix’s early mover advantage through 2022.
As a result, Netlix has been under pressure to grow. In response, it has so far launched cheaper ad-supported subscriptions and has cracked down on password sharing between multiple users.