Happy Friday, I'm Dylan Byers.

Welcome back to In the Room, my biweekly private email on the intrigue and inside story behind what’s going on in the media industry. Today, I'm opening my notebook to share some thoughts and leads on ongoing stories of interest in the worlds of streaming and digital media. If you ever have any questions that you'd like for me to address in the column, don't hesitate to reach out by replying to this note. And if this email was forwarded to you, you can sign up here.

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Is Netflix Eating ESPN’s Lunch?

Some thoughts on whether Netflix is trying to steal ESPN’s playbook, and Axios’ turning point. Plus some other dish.

Reed Hastings and Ted Sarandos have no interest in making a play for live sports. The Netflix co-C.E.O.s have stated publicly, and Sarandos has told me privately, that the increasingly exorbitant and often hard-to-justify costs for live rights is money better spent on original shows and films. But that doesn't mean that Netflix can't cash in on the massive audience demand for sports. In Formula 1: Drive to Survive, the documentary series about the world's premier auto racing competition, Netflix has demonstrated that they can drive subscriptions—and even expand the fan base—through supplementary content that, for many viewers, ends up serving as the main attraction. 

Netflix announced this week that they will replicate that model for the PGA Tour and professional tennis. Both series will be produced by Box to Box Films, the producers of the F1 series. And in a lucky bounce for Netflix, their tennis series will kick off with the drama surrounding Australia's decision to cancel Novak Djokovic's visa ahead of the Australian Open...

FOUR STORIES WE'RE TALKING ABOUT