From the earliest idea of fighting Netflix, Ronan hired an economic research company to keep an eye on Netflix, and two years later, he has spent hundreds of thousands of dollars on it.

There are also a lot of gains, not only did they get a full file cabinet of relevant information, but also two investigators of this company also entered Netflix in the recruitment of Netflix, becoming employees with a low position, and they can clearly understand the company's every move.

After meeting Reed Hastings at that party, Ronan also asked Robert Lee to contact him a few times, wanting to invest in Netflix, but was rejected by Reed Hastings, who needed more than just money, but also a platform.

Netflix's initial stake was almost entirely in the hands of the two co-founders, Reed Hastings and Mark Randolph, and just like Relativity Entertainment, there was little way to buy it as long as the other party didn't want to.

Ronan also considered creating such a website company from scratch, after all, the last job in his previous life was the Internet video business, and his profession was right, but after seeing several reports from the investigation company, he thought about it several times and finally gave up the idea.

The times are different, the business is also different, and Netflix's entrepreneurship is not just described by the word difficult.

Seeing the investigation report on Netflix's burning money in recent years to build an online leasing and picking system, straighten out mail channels, establish a warehousing platform, etc., Ronan knew that it was impossible for him to take care of both aspects at the beginning of his business.

The money burned by Netflix in the past few years definitely exceeds the value of the company at this stage.

Ronan is not afraid of difficulties, but lacks funds and energy, and it is almost impossible for him to develop a film production and distribution company quickly, fool people everywhere to invest in films, and at the same time complete another version of Netflix entrepreneurship.

He has always had a relatively sober mind, knowing that his energy is limited, his funds are limited, and the stall in the entrepreneurial stage is too big, and it is very likely that he will end up hating.

In contrast, it is more in line with Ronan's reality to complete the start-up, build the basic structure, and wait until the company wants to further expand its business and face an extremely difficult situation.

After several years of painstaking operation, Relativity Entertainment has been on the right track, integrating production and distribution, and has accumulated a certain amount of money through several blockbuster movies.

Ronan is now able to spare not only his energy to take care of other aspects, but also has the most critical funds in his hands to achieve his goals.

Since March 2000, the Internet industry has been in mourning, and Netflix is no exception, and since then, the situation has not been good.

Sitting in the office, Ronan looked at Netflix's investigative reports for more than a year, and from the analysis sent by these Netflix insiders, he could undoubtedly clearly see Netflix's situation.

Netflix's main business, Internet rental and sales of film DVDs, has grown extremely slowly in the past year, with losses doubling every year, and Reed Hastings is constantly adjusting its internal management, just like most startups, when the startup stage is completed, Netflix's entrepreneurial team is inevitably marginalized.

It was Mark Randolph who really led Netflix through the startup, and his original startup team has fallen apart and most of them have left Netflix.

However, Mark Randolph has a close relationship with Reed Hastings, and his own desire for power is weak, so he still stays at Netflix as president to assist Reed Hastings.

After carefully reading these investigation reports again, Ronan clearly realized that the best opportunity to attack Netflix had arrived.

Netflix's two entrepreneurs, especially Reed Hastings, not only have the idea of selling Netflix, but are also looking around for a suitable successor.

In his previous life, Ronan had studied Netflix to some extent because of the industry he was engaged in, and he remembered very clearly that after the bursting of the Internet bubble, Reed Hastings not only wanted to sell Netflix, but even went to the head of his rival Pescard when no one cared about him.

According to news reports, Reed Hastings founded Netflix with Mark Randolph after the software company he worked for was acquired because of his dissatisfaction with the late fees for Pepsi's lease.

Ronan put away the materials, leaving only two copies, and read them carefully.

One is Netflix's financing in the past two years.

Reed Hastings did not find any funds, as a former executive and shareholder of a software company, he had considerable assets in his own right, and he also raised a lot of funds in the form of mortgages in the early days of the business, which also kept Netflix afloat until the end of 1999.

During this time period, it was the time when Internet stocks were popular, and Netflix also had nearly six-figure registered members, and Reed Hastings's efforts finally attracted the attention of ideal large companies and large fund companies, and obtained opportunities for venture capital and big platform promotion.

In early 2000, the French giant Arnault Group was ready to invest in Netflix after several rounds of site visits to Netflix and a two-month negotiation with Reid Hastings.

The venture was invested in two rounds, $30 million in mid-2000 and $100 million in early 2001.

At the same time, the Arnault Group will be responsible for the promotion of Netflix.

Big group, big platform, big investment, if this deal can be reached, Netflix is definitely not the current situation.

At that time, Ronan had already received the relevant report, but he just stared at it and did not make much action, because the first investment would not be made until mid-2000.

Unsurprisingly, after the crash of Internet stocks in March, Arnault Group canceled all plans to invest in Netflix.

This is not a situation faced by Netflix alone.

The dot-com bubble burst was a Silicon Valley version of a sandstorm, with young software engineers haunting abandoned office parks in vain search of work, with young software engineers taking worthless stock options as payouts, and many having to go back to school to become lawyers or accountants.

Reed Hastings is going to be too difficult to prove that Netflix still has a bright future in the wave of dot-com company crashes.

After more than a year of persistence, there was a corresponding second report.

Here's an incident that just happened last week.

Reid Hastings flew to Texas to Dallas to meet with Ed Stead, the president of Bestell.

Ronan judged from the investigators that this should be the memory of Reid Hastings preparing to sell Netflix to Pepsi.

Memories of the two sides not reaching a deal, and even if they did, Ronan would have had time to make a move, and Reed Hastings was a businessman after all.

The resulting report also confirmed Ronan's suspicions.

Reed Hastings didn't get any attention from Pepsi, and after Ed Stead met with him, he threw it over to his own agent, John Antiok.

This is actually an indication of Pepsi's attitude.

But Reed Hastings did not give up, and explained his proposal to the Pepsi staff, led by John Antioch: Peskind to buy Netflix and turn Netflix into Pepsi's right-hand man on the Internet.

In his view, this is a win-win situation, saving Pepsi the huge expense of converting its vast inventory of videotapes into DVDs, and opening up the Internet for Pepsi, while Netflix can effectively leverage the more than 20 million active users accumulated in Pestell's stores.

Netflix, which has become a subsidiary of Pepsi, will focus its main business on old and niche films, while leaving the new film business, which accounts for 80% of the business, to Bestech.

At the same time, Netflix can put promotional materials and registered computers in every Pepsi chain.

Reed Hastings has developed a strategy that looks pretty good in order to sell Netflix.

Moreover, his asking price is not too high, 50 million dollars.

This figure is far less than the money Netflix has burned in recent years.

If you look at this deal from the perspective of the future, it is simply a good deal, and Pepsi will not only get the opportunity to enter the Internet, but also use it to achieve transformation.

But in this current environment, some things look completely different.

Pepsi staff, led by John Antioch, have no interest in Netflix at all, expressing serious doubts about the viability of internet companies and saying that the market is overestimating untested business models.

It's not just Pepsi's opinion, Ronan was not at all surprised when John Antioch mocked Reed Hastings' proposal when John Antioch mocked Reed Hastings' proposal.

Even Netflix executives don't believe Pepsi will buy Netflix for $50 million.

At a subsequent meeting with Netflix, Reed Hastings vowed that Pepsi had made a mistake and that they would soon regret it.

Ronan believes that this statement is highly likely to turn into reality, but Reed Hastings is actually bluffing, as Reed Hastings has not given up on the idea of selling Netflix after ending his meeting with Pepsi's top management from Dallas.

Judging by the investigators' exact analysis, Reed Hastings is currently hesitant,

On the one hand, companies that don't want to let go of their startups are looking for ways to put Netflix on the right track.

On the other hand, Netflix lacks the funds to continue to grow, and Reed Hastings is debt-ridden and wants to sell Netflix to get out of his predicament.

Just like Ronan runs Relativity Entertainment, it's not easy for any start-up company to grow.

Today, Netflix has a well-established platform architecture, and the funds burned to complete these structures far exceed the actual value of the company at this stage.

In this respect alone, Ronan is very cost-effective if he buys it.

Over the past few days, Ronan has convened the top of Relativity Entertainment, especially Mary, Robert Lee, George Clint and Garcia Rodriguez, among others, to explore the feasibility of acquiring Relativity Entertainment's acquisition of Netflix.

But to Ronan's surprise, without waiting for Relativity Entertainment to contact Netflix, Reed Hastings actually took the initiative to find Embassy Pictures.

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