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I like Netflix as well but they are definitely a long-term risk as their current business model is going to dwindle and on-demand is going to rise. Now they are
by javery 17y ago
I like Netflix as well but they are definitely a long-term risk as their current business model is going to dwindle and on-demand is going to rise. Now they are doing some good stuff in the on-demand space, but they are going to be competing against all the cable providers (some of which are going to be buying movie companies like Comcast). They could also end up competing against Apple or anyone else who decided to get into streaming, they might have first mover but will it be enough? I think Hulu is a sign of how the studios want it to work, they want to own the deliver network so when they have a choice they might start their own and block out netflix.
- immad 17y agoCompletely agree with you. That is why I didn't put Netflix on the list. I just think they cant own online streaming like they have owned "rentable" DVD subscriptions.
- tpiddy 17y agoGoogle is also positioned to compete, either through a payments for streaming copyrighted content and especially through targeted advertisements.
- ams6110 17y agoMostly agree, though I think physical media rentals are going to be around a lot longer than many people think. Though perhaps not the Netflix (i.e. mail delivery) model, maybe more likely the RedBox (vending machine) model. A lot of folks who like to watch movies don't even have computers... it's easier on the budget to spend a buck or two on a movie rental vs. $500+ on a computer plus broadband internet.