>> Billboards, one of the oldest forms of advertising, getting a makeover from Netflix, the same company that revolutionized television and brought us binge watching. Reuters reporting exclusively on Netflix's plan to buy half of Regency Outdoor Advertising's assets for $150 million, focusing on the famed LA Sunset Strip. It's also considering the purchase of Regency billboards in other key Hollywood areas such near the Dolby Theater, home of the Academy Awards.
So why is a streaming video giant buying billboards? It's Netflix's way of showing its prowess as a major producer of movie and TV shows, says Reuters' Liza Richwine.>> The billboards on the sunset strip are seen by all the big time actresses, actors, celebrities, writers, directors. And those are the people Netflix wants to impress.
That's particularly important because Netflix has a lot of programming, and the people who are making their shows want to know that their work is being recognized.>> One company that buys outdoor media tells Reuters, renting a single billboard on Sunset Boulevard averages around $20,000 a month. And some larger spaces on the sides of buildings in the area can go for more than $100,000 a month.
>> Billboards are a really old school form of advertising. But they're merging with the digital age because many people take photos of them and then they put them on Instagram and Snapchat, and then suddenly you've merged this old school entertainment with high-tech digital advertising.>> Billboard advertising is part of the $2 billion Netflix plans to spend on marketing its TV shows and movies this year, a stockpile that's been increasing as it looks to grow beyond the 125 million global customers it already has.