Netflix has made headlines this week with a huge announcement concerning the future of their original films and series. The streaming service already has a huge footprint in the film and television industry, and that footprint is set to grow. Netflix Chief Content Officer Ted Sarandos stated this week that Netflix has plans to move its production operations to California and “invest in infrastructure.” While that last part could be interpreted multiple ways, industry insiders believe this suggests Netflix is considering building their own in-house studio facilities.

In an interview with The Wrap, Sarandos says the studio isn’t necessarily a financial investment, but a creative one. Sarandos believes that providing a stable home base for filming its original series will make its stars happier and perhaps even attract bigger talent:

When you think about productions chasing tax credits all over the world, it puts the onus on the cast and crew who have to travel. You move to Los Angeles, or you grew up in L.A., because you wanted to be in show business — and then you have to move to New Orleans six or eight months a year. If people were enjoying their work, they would do better work. That’s been our own corporate philosophy.

Clearly, money is no object for the streaming giant. With a customer base of 90 million subscribers and growing, Netflix has some serious capital to throw around. Those mind-boggling budgets of some of their original series and films are paying off for Netflix, based on reviews of their original content.

As Netflix originals continue to be huge hits with fans, many of Hollywood’s biggest names are lining up for their own. Netflix original productions. Later this year, Netflix will debut Bright, an original film starring Will Smith as a cop who fights crime alongside fantasy creatures. Hollywood legend Martin Scorsese will release his next film The Irishman exclusively on Netflix in 2018. In what could be its biggest original film release to date, Netflix will release War Machine starring Brad Pitt, which reportedly cost upwards of $60 million. Not bad for a company that started out renting DVDs through the mail.