Netflix was founded in 1997 by Reed Hastings and Marc Randolph, originally as a DVD-by-mail service designed to kill late fees (famously inspired by a $40 late fee for Apollo 13). While Blockbuster laughed at the idea of an online subscription model—even turning down an offer to buy Netflix for $50 million in 2000—Netflix was busy building the recommendation algorithm that would become its secret weapon. The company’s true "big bang" moment came in 2007 when it pivoted to streaming. By moving from physical discs to an all-you-can-eat digital library, they didn't just disrupt video stores; they forced the entire Hollywood ecosystem to abandon the cable model and move into the "Streaming Wars."

Today, Netflix is a $45 billion+ revenue machine that has evolved into a full-scale media and tech conglomerate. Its current product set is no longer just a library of movies; it’s a vertically integrated powerhouse that includes Netflix Games, a massive Ad-supported tier that now accounts for over 50% of new sign-ups, and a aggressive push into Live Events like the NFL and WWE. Most significantly in 2026, the company is finalizing a $72 billion acquisition of Warner Bros. Discovery, a move that officially transitions Netflix from a tech-disruptor into the world's largest traditional studio owner, bringing HBO and the Warner Bros. film legacy under its control. It’s no longer just an app; it’s a global infrastructure for the entire entertainment industry.