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Comment by kwanbix

7 months ago

I recall Netflix saying that streaming cost was nothing compared to all other costs.

I am curious to see their breakdown. It seems very counter-intuitive of them to invest so much into reducing bitrate if the cost of delivery is negligible. R&D and codec design efforts cost money and running more optimized codecs and aggressive denoising cost compute.

Improved compression also saved on storage costs. We would have to hear them state the same about storage.

It probably is but the bean counters do not want to hear this, they want to cut everything to the point that it's just above the limit that consumers will accept before they throw in the towel and cancel their membership (ads, low quality compression, etc)