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Netflix is burning $859m/quarter: https://www.cnbc.com/2018/10/17/netflix-free-cash-flow-q3-2018-negative-859-million.html https://www.cnbc.com/2018/10/17/netf

• mikhailfranco 8y ago
  Company borrowing billions to feed a bonfire of cash, eventually has to raise prices. Surprised? Nice chart of the huge increasing cash burn ... https://www.zerohedge.com/news/2019-01-15/netflix-hikes-prices-18-58-million-us-subscribers https://www.zerohedge.com/news/2019-01-15/netflix-hikes-pric... What are the barriers to entry for the competition? Does Disney-Pixar have good content? Does Amazon have deep pockets? Survival depends on the price elasticity of viewers as they trim their budgets going into a recession. So is Netflix discretionary or a necessity? We'll see, but when betting on Netflix's future, my money is on red, not black. Of course there are a few possible futures for Netflix: bankruptcy; heavily discounted acquisition; or finding a Greater Fool, usually Microsoft in these situations (see Nokia, LinkedIn).