Presumably now Netflix will have to pay Broadcom some amount to stream over HEVC.
Which begs the question, if it's an essential patent, why is it not part of the pool from MPEG-LA?
Maybe Broadcom didn't feel like joining the extortionist pool but preferred to extort the format into uselessness all on its own?
There are precious few ways to mandate licensing of a patent of a third party, and MPEG-LA (now Via LA) license pools aren't one of those ways.
Presumably, Netflix will in the short-term pay X amount for this but work probably started yesterday or earlier to replace it with something that doesn't have fees to use.
[1] https://research.netflix.com/publication/AV1%20at%20Netflix
For netflix? its not that simple. Video codec design is a mammoth task. Sure you can make your own fairly easily, but making an efficient, hardware accelerated encoder that is suitable for broadcast work is one thing.
Making a spec for consumer hardware to implement, efficiently and cheaply is another.
go and read the spec for MPEG2, then compare it to MPEG 4, with all the amendments to make h.264. Its a lot of work.