By George Glover
Netflix stock was rising on Wednesday after the streamer unveiled a deal enabling it to broadcast linear TV on its platform for the first time.
The irony is that the announcement comes a day after it was revealed the total market share of streaming had surpassed broadcast and cable combined. A report published on Tuesday by media audience measurer Nielsen showed this happened for the first time ever last month.
More and more viewers are ditching traditional TV for platforms like Netflix, Disney+ and Amazon.com streaming service Prime Video.
So why would Netflix want to add a fading content stream to its platform? The reason is it fuels what's known as Netflix's "flywheel" -- when the streamer adds subscribers, it's able to pour more money into expanding its content library, which in turn attracts even more users.
Netflix said in a press release that it was partnering with French broadcaster TF1 in a deal set to start next summer. The agreement will allow Netflix users in France to watch TF1's live channels and on-demand content, without having to exit the streaming platform.
TF1's offerings include scripted dramas, soap operas, reality singing competition The Voice, and live sports matches.
Netflix shares climbed 0.4% to $1,225.50 in premarket trading. Futures tracking the S&P 500 were up 0.2%.
Netflix co-CEO Greg Peters said the team-up with TF1 would "provide French consumers with even more reasons to come to Netflix every day."
Barron's argued in May that the strategy was paying off, with the company's broadcasts of live sports events like the Mike Tyson-Jake Paul boxing fight among the factors that would carry on boosting the stock.
Netflix shares are up 37% this year, while the S&P 500 has climbed just 1.7% in 2025.
Write to George Glover at george.glover@dowjones.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
June 18, 2025 08:03 ET (12:03 GMT)
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