Netflix Inc (NASDAQ:NFLX) has signed an agreement with Japan-based animation studio Colorful to fuel its growth in Asia.
What has happened
The streaming giant is going to co-produce three movies with Studio Colores, as reported by Reuters.
The partnership will reportedly include ‘Drifting Home’, which is scheduled for release in September. The studio’s work includes movies like ‘Shashinkan’ and ‘Burn The Witch’.
“In order to… win globally, we first have to win locally,” said Kaata Sakamoto, Netflix’s vice president of content for Japan, according to Reuters.
Because it is important
Half of Netflix’s global users tuned in to animated programming, while 90% of the SVOD firm’s Japanese users watch such content, according to data provided by Reuters.
Netflix is seeing growth in the Asia-Pacific region, including Japan, where the company had 5 million users as of September 2020.
“We are going to increase our investment in Japanese content, not only in volume but also in various genres and formats,” Sakamoto said, according to Reuters.
This month, Netflix has reported its first loss of subscribers since 2011 when it published its figures for the first quarter of 2022. Netflix’s revenue rebounded 9.8% year-on-year to settle at 7.71 billion dollars, a figure below the estimates of 7,930 million dollars.