Netflix's Viewing Data: How We Know What You Are Watching #BigBrother?

How does Netflix know what you are watching? This blog post explains everything and it even has a diagram to help you understand how it works all (sorta).

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Our system needs to know each member’s entire viewing history for as long as they are subscribed. This data feeds the recommendation algorithms so that a member can find a title for whatever mood they’re in. It also feeds the "recent titles you’ve watched" row in the UI. What gets watched provides key metrics for the business to measure member engagement and make informed product and content decisions.