Netflix has seen tremendous growth since its launch back in the late 90’s, and even more so from its roots as a PC only video on demand and DVD service. A lot of the success they have seen has come as a result of the company knowing they have to spend money to make money.
It looks like their spending won’t simply be restricted to the U.S though, as the Canadian Government has announced Netflix will invest at least $400 million USD (C$500 million) on original content production in Canada over the next five years. Alongside that, Netflix Canada will soon be established, a new, permanent production company that will be the first such venture outside of the U.S for the streaming service.
This deal comes as a result of the Canadian government’s effort to modernize the country’s content programs and review legislation on broadcasting, telecommunications, and copyright issues. Alongside Netflix’s C$500 million investment, Canada will spend C$125 million in the next five years to promote the country’s art in foreign markets.
This news doesn’t come as much of a surprise given Netflix appetite for growth and its established partnership with CBC (Canadian Broadcasting Corporation) on an Anne of Green Gables remake dubbed Anne.
Netflix Canada will produce content not only in English, but French as well, in coordination with Canadian broadcasters, production houses, and local talent. At least $25 million of the $400 million will be devoted to the French side of the content.
Melanie Joly, Canada’s Heritage Minister, was in charge of reviewing the content policies. She stated that if the government sharpens it’s focus in regards to investing in Canadian content producers that they “will be a leader in the world.”
Things are only looking up for our neighbors in the Great White North, as the Canadian government has also been seeking similar investments by other companies for the country’s content as well.