I think the take is: If 100k people watch the episode, spending $200 more for higher quality subtitling comes out to... a whopping 0.2 cents per person (per episode). Let's just say that would cost an extra $1/month per person. Are they price sensitive enough that they won't go to a competitor that's a few dollars more expensive per month if it has better subtitles? I don't know, but maybe some manager believed they were, and thus it was worth it to make the subscription a little cheaper.
> Are they price sensitive enough that they won't go to a competitor that's a few dollars more expensive per month if it has better subtitles
Outside of Asia, Crunchyroll is a de-facto monopoly on legal anime. From the article, 70% of new releases are exclusive to Crunchyroll. They're not losing customers to platforms with better subs, because customers have no alternative.
(Besides pirating, but I assume the golden age of Tier 1 fan subs is over)
> I assume the golden age of Tier 1 fan subs is over
That's just because the legal options were easily available, right? Kind of like people stopped pirating as much when Netflix was actually decent. But now the tides are turning again, so maybe the fan subs will start coming back as well.
There used to be an unwritten rule in fansubbing that you should only fansub anime that didn't have a licensed release - but of course that was during the time when barely any anime got licensed.
Still, though, I wonder if that mindset is still going to be around.
Less now, but the bar is higher because now there's a baseline good enough product, so even if in the past you'd have done it anyway with more care, now unless the official sub is bad enough, why would you bother?
I remember seeing (I think Netflix release) of Komi-san can't communicate, noticing A lot of things being missed, like Komi's literal main manner of communication (A notebook where she writes) not getting any translation for some episodes, or a lot of things I'd have to fill others in that normally at least would have been a T/N in fansub
It was bad enough that I went looking elsewhere to see if I had missed more than I realized, and the fansub did have everything covered
At the moment the threshold for a fansub getting made or not is whether or not the licensed releases are "good enough". If the official releases are terrible, expect someone to step up and at least fix the typesetting even if they use the script from the license.
Also, it’s trivial to standup a minimal quality stt+translation workflow in something like comfyui, all freely available models, and run on modest consumer gpu, ~3050 is just fine. If you’re handy with this tech you can do a lot better. If crunchyroll is only going to have slightly better quality then it can be appealing even to moderate fans who wouldn’t spend the time doing things manually.
I don't think that's accurate to the current market. Ten years ago it was true but in 2025 they have several competitors and not nearly as many exclusives. I can name several counterarguments.
* Shonen anime, which are consistently the most popular ones, are also on netflix and probably several other services. Eg, demon slayer, dandadan, etc.
* there are still shows that are japan-exclusive because nobody bothers to license them. Roboshinkalion is an entire franchise that nobody cares to import! We actually had to wait two extra years for gridman universe because nobody bothered to license it for English localization!
* just this year they failed to obtain the rights to Mobile Suit Gundam G-Quuuuuux and Panty and Stocking With Garterbelt because amazon outbid them. These are both new entries in well-established brands and they're both made by studios with large fan followings (khara for g-quuuuuux and trigger for panty and stocking).
* somehow Hulu ended up breaking harmony gold's 45-year blockade around the macross franchise and won exclusive streaming rights.
* netflix has a lot of exclusives these days, including Jojo stone ocean and the upcoming steelball run.
At least in Europe, if CR has licensed a show or a season, then nobody else can license the same show or season. There's always exactly one place to watch one particular show or season. So, no competition - licensing goes to one, and only one place. Likewise, if Netflix has licensed something then CR isn't getting that license (e.g. Komi Can't Communicate - it's on Netflix, therefore not available on CR)
This may be true for current seasons but previous seasons and finished series are often available on other services. At least crunchyroll and Netflix have an overlap (in Sweden). Frieren is available on both as an example.
i think you've counted it in a way that makes it sound cheap, but in reality isnt.
$100k per month is extra revenue, if they do a half-assed job. A customer actually has no competitor to move to - crunchyroll has a defacto monopoly (barring piracy).
The price of the subscription is already adjusted to be the maximum of what the market would bear for maximum revenue - presumably raising that price higher would lead to lower subscribers and revenue.
>A customer actually has no competitor to move to - crunchyroll has a defacto monopoly (barring piracy).
When fansubs were good, Crunchyroll was forced to compete with them on quality. It's hard to convince people to pay when the alternative is both free and much higher quality.
Now that they've driven fansubs groups "out of business", they no longer face the same degree of competitive pressure to deliver a quality product.
My recollection is that, by the early days of Crunchyroll, fansubs weren't really competing on quality so much as speed. And with the legitimate licensors having access to the scripts slightly in advance of the Japanese release, the fansubs could never catch up to them in release speed.
Why is the $1 added to the subscription cost? They don't redo the subs every month. It's developing subs once and then enjoy the benefits forever. It should be a cost that's amortized over something.
Well, it's not completely crazy. They don't redo the subs for an old show every month. But they do create new subs for new shows every month. They have constant, ongoing costs of subtitle development, and if they permanently increase those costs, they will be spending additional money (compared to the alternative) every month forever.
They have 17 million paying subscribers. If they subtitled 1,000 episodes of content a month * 200$ = 200k / 17 million ~= 1 cent per subscriber per month. Actual cost per subscriber is well below that.
> Are they price sensitive enough that they won't go to a competitor that's a few dollars more expensive per month if it has better subtitles?
They should probably consider that this competitor is actually mpv playing the DRM-free blu-ray quality fully subtitled mkv files obtained for a grand total of zero dollars from organized groups of people who simply care about anime to an absurd degree.
"Paying customer" is a synonym for "fool" in this context. Paying for inferior products is just foolish. It is damaging to one's self-respect. It is even more damaging for the reputation of the corporation. A bunch of fans regularly put them to shame by releasing better products on a daily basis. That's just pathetic.
I'm actually one of the fools who tries to support creators by "buying" (licensing with 0 rights) their things. Why do you think I'm so angry at the shit quality of the products I receive in return? Anger doesn't even begin to describe what I feel when I pay for streaming services and get video so poorly encoded they have artifacts in black frames.
I am also paying for crunchyroll and trying to support the creators in various ways.
But still, I often find myself watching anime from fansub groups even though I have a legitimate, official way of watching them. Paying for a streaming service that is objectively, significantly worse than even the shittier pirate offerings does make me feel like a fool.
Anime will not disappear if CR implodes. It will still be funded by the Japanese market and other streamers. There will probably be fewer shows per season for a while, but that's not necessarily a bad thing.
And sometimes it's more fun when there's no central source. Snarky chapter titles and leaving in a commercial for Morning Rescue when editing down the TV rip? Sure, why not.
I don't believe managers can operate with that kind of precision. I don't know how they'd execute the "let's spend 200$ more" idea. You're either in a quality or in a cost reduction mindset usually, these are _really_ difficult to mix for management. I know I've tried :) When you even bring up how long something takes, that can already have adverse effects on quality without you actually decreeing anything.
Well, they can, and at least did. I know because I was one of them! The P&L that I rolled up to our execs was dead simple as well. I think everyone had a pretty clear picture of what was going on, down to the fraction of the hour.
