Streaming juggernaut Netflix plans to spend $1 billion on film and TV production in Mexico over the next four years. CEO Ted Sarandos announced the plan Thursday during a press conference with Mexico’s president, Claudia Sheinbaum. The injection of capital could fund 20 productions per year, on average.
During Thursday’s event, Netflix also announced a $2 million investment in Mexico City’s Churubusco Studios to improve the facilities. The goal is to strengthen the national film industry.
“Our journey in Mexico has taken us from north to south. From sunsets on the Baja California peninsula to sunrises on the Caribbean coast,” Sarandos said. “We have produced in more than 50 locations in 25 states. With this renewed commitment, we look forward to deepening our partnership even further.”
Mexico occupies a key place in Netflix’s history. The TV show Club de Cuervos, which was produced in the country and premiered in 2015, was the company’s first series shot outside the United States.
Since then, Netflix has continued to make projects in Mexico that have been popular both domestically and abroad. Films like Roma, Bardo, and Pinocchio, by Mexican directors Alfonso Cuarón, Alejandro González Iñárritu, and Guillermo del Toro, respectively, have been standouts for the streamer. In 2020, the company established its Latin American headquarters in Mexico City, and in the past five years its workforce has grown tenfold.
“Together with the government of Mexico and the industry, we will continue to fund programs that help develop diverse and creative behind-the-scenes talent in the world of entertainment,” Sarandos stressed.
The CEO revealed that the recent production of the feature film Pedro Paramo contributed more than 375 million pesos (about $18.5 million) to Mexico’s gross domestic product and generated thousands of jobs in sectors such as textile manufacturing, hospitality, and transportation.
For her part, Sheinbaum noted Netflix’s decision to invest in the country not only reflects Mexico’s tax incentives and competitive production costs but also the country’s cultural and creative richness, a richness that has allowed the platform to expand through the production of original content.
“These productions are by Mexican talent; they don’t come to a location to produce an idea that was generated somewhere else in the world because it’s cheap,” Sheinbaum said. “This is about Mexican talent, creativity and cultural richness.” She suggested that her administration will back these projects with possible government support for the sector.
The business opportunities for Netflix in Mexico are evident. The country has millions of streaming customers and each maintains several subscriptions at a time, according to marketing firm Bango. Netflix is among the three most popular platforms among Mexicans. According to a study by HR Media, it is the second most used video-on-demand application, with a market share of 21 percent.
X content
This content can also be viewed on the site it originates from.
