2. INTRODUCTION
• Duopoly case between one of leading video
streaming platforms which is Netflix and Amazon
Prime Video.
• Effects of duopoly situation on both companies.
• How the situation changed their game in the
video streaming market.
• Emergence of other ott platforms.
• Transition of duopoly into perfect competition
market in the video streaming field.
3. INTRODUCING THE CONCEPT OF MONOPOLY,
DUOPOLY AND PERFECT COMPETITION
A monopoly exists when one supplier provides a particular good or
service to many consumers.
A duopoly is a situation where two companies together own all, or
nearly all, of the market for a given product or service
Perfect competition is a market structure in which a large
number of businesses produce the same product.
4. WHAT ARE OTT PLATFORMS
• OTT ‘Over the Top’ are TV and film content viewing
platform using internet connection.
• Bypasses cable, broadcast, and satellite television platforms
• Allows multiple device compatibility with a single
subscription plan.
• People now have a plethora of options for watching their
favourite content on numerous devices like smart TVs,
mobiles, computers, tablets, and more.
5. WHEN DID OTT ENTER INDIA?
The first dependent Indian OTT
platform was Bigflix, launched in
2008.
YouTube: officially launched in
December 2005.
Netflix - launched in January 2016.
Amazon Prime – finally in India,
nearly a year after its biggest rival,
Netflix.
Voot – introduced in 2016.
Zee 5 - entered the market in
2018.
Disney+ Hotstar -launched in
India in 2015, eventually bought
over by Disney in 2019.
MX Player - latest to enter India's
video-streaming market, Feb
2019.
7. • Netflix is a subscription-based streaming services that allows its
members to watch TV shows and movies without commercials on an
internet-connected device.
• Netflix was launched on August 29, 1997, by American entrepreneurs
Reed Hastings and Marc Randolph.
• Netflix has its corporate headquarters are in Los Gatos, California.
• Netflix’s video-streaming service was available in around 50 countries
till January 2016 when it added another 130 countries, including India,
while China was left out.
INTRODUCTION TO NETFLIX
8. HOW NETFLIX BECAME A MONOPOLY
$ 6 Billion
83 million
Subscribers
Netflix
purchases all
rights to its
programming
600 hours
$120 million
40%
$3 billion
9. THE ARRIVAL OF AMAZON PRIME VIDEO IN THE
MARKET
• If someone asks you to name a streaming platform other than Netflix, the only
one that comes to your mind would most definitely be Amazon Prime Video.
The fact that it comes bundled with the Amazon Prime subscription, which in
itself has become an essential part of many people’s lives in the first world, only
makes a case for Amazon Prime Video in the battle vs Netflix and take a slice
off its market share.
• They say user engagement is all about being authentic and adding value to
your prospects and audience. But what they don’t tell you is how it can actually
be done. This is something Amazon Prime Video was able to pull off in
supreme fashion when they ended up making an episode of The Wilds, one of
their original drama series, free to watch for their audience across social media
platforms.
• In the five years that Netflix has been in India, it has grown exponentially. But
with its premium pricing, and increased competition, the streaming giant will
have to work harder to steal the show.
10. HOW NETFLIX AND AMAZON PRIME BECAME A
DUOPOLY
Amazon Prime is
cheap
Not just Mirzapur,
local content on
Prime is better
Prime has added
benefits
You also get
Amazon Prime
Music
No extra cost for
HD or 4K
11. NETFLIX VS AMAZON
Particular Netflix Amazon
prime
Share in Indian Market 5 per cent share 9 per cent share
High-Resolution
Content
Netflix excels in
providing 4K and HDR
content
Amazon Prime video
falls slightly behind
Charges Higher Comparatively lower
Support supports content to
display on gaming
consoles
does not support
gaming consoles
content and library
titles of Netflix
extensive more limitations in this
context
Netflix packages higher cost Lower cost
Downloads Limited Unlimited
12. THE PERFECT COMPETITION SCENARIO
• In a perfect competition, there is neither monopoly nor duopoly.
• Perfect competition is theoretically the opposite of a monopolistic
market.
• There are a large number of producers and consumers competing
with one another in this kind of environment.
13. REASONS FOR RISE OF OTT PLATFORMS
• Adaptation to Western Culture
• Choices vary among different people
• Convenience
• Quality and fresh Content
• Steaming before Television.
14. Covid caused boom to OTT platforms in
the entertainment sector , as many
theatres were closed and shut, because of
which many people in more numbers
shifted to Netflix and Amazon as well as
Hotstar and gave it a rise to all those.
THE COVID IMPACT
15. MAJOR CHALLENGES FOR OTHER OTT PLATFORMS
• Safety and Privacy
• Misunderstanding your audience
• Content Challenge
• Maintain or Fulfillment of user demands.
• Poor user experience
• Catching a bad wave
• Managing Expectations
16. CAN DISNEY+ AND OTHERS SHATTER THE NETFLIX-
AMAZON GLASS CEILING?
17. THE FUTURE OF OTT PLATFORMS
The future of OTT platforms is glorious. It is
expected that India needs will be amongst top 5 in
Asia to join the queue in technology experts after
South Korea, China, Japan etc.
In the last few years, India has taken steps to
develop its internet protocol but still needs
advancements.
Hence it is said that the OTT platform will have a
glorious future ahead.
18. CONCLUSION
A duopoly is a type of oligopoly where two firms have
dominant or exclusive control over a market. It is the
most commonly studied form of oligopoly due to its
simplicity. Duopolies sell to consumers in a competitive
market where the choice of an individual consumer can
not affect the firm. The defining characteristic of both
duopolies and oligopolies is that decisions made by
sellers are dependent on each other.
E.g. Amazon or Netflix
Mastercard or Visa
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