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Netflix is to partner with iQiyi
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US-BASED Netflix, the developer of the House of Cards, is going to cooperate with China’s online stream service provider iQiyi to make foray into the Chinese market, Shanghai Daily learned today.
Global streaming giant Netflix has net its first licensing deal with iQiyi in China, where Netflix is yet to make its presence. The deal has been confirmed, and more details will be revealed later, an industry official, who declined to be named but was familiar with the deal, told Shanghai Daily today.
Among all Chinese online video giants, iQiyi was the earliest and top one to adopt “Netflix” business model. It depends on high quality contents and some unique titles to attract paid users. In 2016, iQiyi generated revenues of about 10 billion yuan (US$1.45 billion), half of which came from advertising and half from paid users.
In 2016, Netflix ranked the No.3 in the global top mobile application list by revenue while iQiyi ranked the No.7 in the list, according to researcher App Annie.
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