Anything 'Subscale' May Not Worth Investing At. But Things Can Change

Greg Peters
Co-CEO of Netflix, Inc.

When diving into the app developing business, it's crucial for businesses to always target their audience where they are most active.

Netflix is the popular American subscription video on-demand over-the-top streaming service, which distributes original and acquired films and television shows from various genres, and it is available internationally in multiple languages.

Greg Peters, co-CEO of Netflix since January 2023, after previously serving as the company's Chief Operating Officer and Chief Product Officer. has his eyes close to the market. And because of that, he also seeks opportunities to reach them where they're at.

Netflix has apps on various platforms, and that the company has invested in the development of the apps, maintaining them as frequently as possible.

But when it comes to Apple's Vision Pro, which many considers as Apple's new computing platform meant to disrupt Augmented Reality and Virtual Reality industry, the executive is quite pessimistic.

Greg Peters
Greg Peters.

While many Netflix users are Apple users, but when it comes to users of the Apple mixed reality headset, Peters needs more time for observation. During an interview held by Stratechery, his reply was expected.

"We have to be careful about making sure that we're not investing in places that are not really yielding a return, and I would say we'll see where things go with Vision Pro."

"Certainly we're always in discussions with Apple to try and figure that out but right now, the device is so subscale that it's not really particularly relevant to most of our members."

Historically, Apple is unmatched in its ability to get app makers to keep up with its newest trend. But with the Vision Pro, it's quite different.

While the Vision Pro can run iPhone and iPad apps, Apple is trying to pitch the idea that Vision Pro is a spatial computing system.

What this means, traditional iOS apps won't suit well with the headset experience.

And because of this, ahead of its launch, Apple wants third-party app developers to bring their products to the Vision Pro, in order to improve experience for their users.

While the Vision Pro has received praise and positive reviews, the device's starting price of $3.499 is putting it on the higher scale in expensiveness, and according to many speculations, this can reduce its appeal.

Peters speaks by the numbers.

The estimated pre-orders for the Vision pro amounted to 180,000 units during the first weekend, which is the number of units that could be reserved.

In comparison, 1.56 million active iPhone units are predicted to be active at the end of 2024.

Because of this, some app makers refrain from investing their time and money on developing apps for the Vision Pro.

Besides Netflix, other high-profile apps that aren't making their appearance include YouTube and Spotify.

At least initially, the Apple Vision Pro has been deemed irrelevant to Netflix users, according to the company's co-CEO.

Read: Apple Finally Enters The VR/AR Business By Introducing Spatial Computing With 'Apple Vision Pro'

Apple VIsion Pro
Early reviews of the Apple Vision Pro have been positive, with many reviewers praising its impressive features and capabilities, but due to its expensive price, its appeal can be very limited.

But still, things can change, just like always. For example, Apple could change give incentive to Netflix.

"We've worked together for a long time, we've always had active discussions to how we could help each other out. Sometimes we find a great space of overlap."

When Netflix was founded in 1997, it quickly changed the way countless households watched movies and shows. And when it began its streaming video service, Netflix literally disrupted legacy movie rental companies, and helped shake up Hollywood by kicking off an arms race investing in original content.

But Netflix cannot reach its users alone. It needs a platform to depend on.

But investing in places that won't give Netflix substantial benefit can mean a loss in profit and credibility, and Peters doesn't want to risk that.

"We'll see where things go," added Peters.

If Vision Pro takes off, Peters said that Netflix can put together a dedicated app "very, very quickly."