Netflix estimates ‘Squid Game’ will be worth US$900m

FILE PHOTO: The Netflix logo is seen on their office in Hollywood, Los Angeles, California, U.S. July 16, 2018. REUTERS/Lucy Nicholson

NETFLIX estimates that its latest megahit, "Squid Game,” will create almost $900 million in value for the company, according to figures seen by Bloomberg, underscoring the windfall that one megahit can generate in the streaming era.

Netflix differs from movie studios and TV networks in that doesn’t generate sales based on specific titles, instead using its catalog and a steady drumbeat of new releases to entice customers every week. But the company does have a wealth of data concerning what its customers watch, which the company uses to determine the value derived from individual programs.