UlasanAnime.com – The landscape of anime streaming services has undergone significant shifts, particularly evident in the Autumn 2017 season. Crunchyroll, once a challenger, has solidified its position as the incumbent, a stark contrast to the emerging ventures like Daisuki, a new platform launched by a consortium of Japanese companies aiming for international streaming reach. This shift highlights the rapid evolution of the industry, where a mere four-year difference, let alone a decade in internet streaming terms, can represent a substantial advantage.
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The acquisition of Funimation by Sony for approximately $150 million USD in 2017 was a clear indicator of Crunchyroll’s substantial valuation, potentially reaching upwards of $250 million. This valuation surge is partly attributed to the intense competition within the streaming market, often referred to as the “Warring Streaming Services” era. Netflix’s significant investment in original content, with a reported $8 billion allocation, further underscores this competitive environment.
This aggressive market strategy by major players like Netflix is a primary reason for the decline of services like Daisuki. Production companies, many of whom likely serve as content providers for these larger streaming giants, face a dilemma: competing directly with their own clients. The substantial output of anime, such as the 30 titles mentioned, represents a considerable investment that could be more effectively leveraged by partnering with established foreign distributors rather than engaging in direct international competition.
Netflix’s aggressive push into the anime space is driven by two key factors. Firstly, there’s an urgent need for compelling original content to attract and retain subscribers. Secondly, despite being a relative newcomer to the anime scene, Netflix possesses a significant advantage over other American competitors like Disney or Amazon. Anime’s inherent affordability makes it a particularly attractive medium for content acquisition and production, especially when compared to the costs associated with live-action productions.
The author’s assertion that Netflix, with its substantial budget, could outcompete specialized anime streaming services like Daisuki and Crunchyroll is well-founded. The strategic decision by Funimation and Crunchyroll to merge their streaming efforts can be seen as a defensive maneuver, a necessary consolidation to withstand the onslaught of these larger, more resource-rich entities. This alliance allows them to “hunker down” and present a more unified front against the encroaching giants.
Crunchyroll, as the established player, faces strong competition not only from other anime-specific services but increasingly from general streaming giants seeking to maximize profits and create exclusive content ecosystems. Daisuki’s decision to fold and integrate with Crunchyroll, or potentially other services offering more favorable terms, reflects the market’s consolidation. Anime has long been an underserved market, and its growing importance is now attracting the attention of major players, signaling market maturation and the pursuit of thinner margins by courting deeper niche audiences.
The acquisition of Funimation by Sony is another significant development in this evolving landscape. Sony’s existing presence in the streaming market, through services like PlayStation Vue, Crackle, and the PlayStation Store, positions them to capitalize on the burgeoning anime demand. The global market is poised to become a battleground where Netflix’s worldwide anime streaming initiatives will inevitably clash with licensed content from established players like Sony, which now possesses Funimation’s extensive library. The author’s reflection on watching Xam’d on PS3 nine years prior serves as a poignant reminder of the long and dynamic history of anime distribution and consumption.
