You may not have heard of Mitch Lowe, but you’ve almost certainly used one of his products. As the co-founder of Netflix and former president of Redbox, Lowe has been instrumental in revitalizing the movie rental industry.
Lowe’s first creation was the Video Droid, an early movie rental machine back in the 80s. He sold it to a Japanese company and started opening video rental stores (back when those were still profitable). After sensing the switch to online content, he and Marc Randolph came up with the idea for Netflix. The rest, as they say, is history.
In the latest installment of Mediabistro’s So What Do You Do?, Lowe spoke about the ever changing world of the video business:
How do you see [Netflix and Redbox] evolving now?
The business is changing in the favor of Netflix. There’s still the segment of the population that’ll own a DVD player for the next three to five years, but it’s shrinking. Also, they’re shrinking the number of hours they’re using a DVD for. It’s mostly because their children are streaming and watching things on their iPads and not renting the disks as much as their parents are. Netflix, on the other hand, is right at the forefront of the streaming and the original content kind of trend. I think Netflix will continue to gain users — and Redbox, if they don’t adjust, will see a dwindling share.
To hear more from Lowe, read: So What Do You Do, Mitch Lowe, Co-Founder of Netflix and CEO of Quarterly.Co?
– Aneya Fernando