The monumental growth of Netflix (NASDAQ:NFLX) over the past 18 months, in both subscribers and stock price, has put the company into a position where it feels comfortable enough to cut the middleman and start making its own content. �
TV network operators like Comcast (NASDAQ:CMCSA), Disney (NYSE:DIS), CBS (NYSE:CBS), and News Corp. (NYSE:NWS) are no doubt sickened by the prospect of Netflix getting fatter on new programming as well as the networks� own shows and movies.
That said, the streaming video giant could play a new, appealing role for those network owners: Netflix could be a clearing house for dead properties. As Media Memo‘s Peter Kafka wrote recently, Netflix CEO Reed Hastings is open to resurrecting shows that have been cancelled by networks. The producers of NBC’s defunct The Event even said they may look to continue the series on Netflix, according to Deadline.
This would work out for everyone — networks could squeeze the last bits of juice from a dud investment, production companies would have access to a brand new audience, Netflix’s stable of original content would grow, and investors (particularly Netflix shareholders) would reap the benefits of good deals. Given Netflix’s ability to cater to niche audiences without worry of placating advertising partners makes it an ideal ecosystem for niche programming like the kind axed from current network schedules.
Here are three recently cancelled shows that would be great fits for Netflix:
Stargate Universe
Never doubt the profitability of exploiting science fiction nerds. The low-budget spinoff of a 1994 Kurt Russell movie was on the air in various forms for almost fourteen years before current producer, Comcast-owned Syfy Channel, cancelled it this season. Syfy Vice President Craig Engler told disgruntled fans that the drop in audience to 1.7 million this season was the reason. Netflix could earn itself 1.7 million new subscribers by picking the show right back up in the next two years. At $8 month for the streaming service, the show could pay for itself and then some.
Human Target
Programs like Stargate, however popular with their core audience, are limited in its reach. More successful have been shows like Fox’s X-Files, which mixed pulp and human drama successfully enough that the average viewer could get addicted without being alienated by a complex, episodic story. Fox’s thriller Human Target lasted for two seasons before it could develop more than a cult following, but that cult following could be nurtured on the streaming service. The Hollywood Reporter said that the show’s fans raised such a stink about the cancellation on Twitter that the show broke into the top ten �trending topics� on the social network. A passionate audience and a need to fill the pulp/thriller niche makes the show an ideal pickup for Netflix.
Mr. Sunshine
Half-hour comedy sitcoms have been a hit for Netflix thanks to its partnerships with NBC and others for archival material. Naturally, it would be wise for the streaming website to offer its own half-hour comedy. Disney’s ABC cancelled the awkward Matthew Perry show Mr. Sunshine after just three months. Given that it was a passion project for its principal star and that it has the potential to grow a following in the way that Fox’s much-loved Arrested Development did, it would fill out a lineup of drama and action on the streaming service.
As of this writing, Anthony John Agnello did not own a position in any of the stocks named here. Follow him on Twitter at�@ajohnagnello�and�become a fan of�InvestorPlace on Facebook.
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