Netflix Seeks Cable Partner

SQUEEZON

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Jan 10, 2007
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It was recently reported that Netflix is in conversations with various cable companies to form a partnership with them, as they really want to compete with HBO? This could be the end of Netflix as we know it, and I would hope Dish Networks is open to conversation with Netflix. Once Comcast or another cable company jumps on this it will be the end of Netflix as we know it.
Comments?
 

Claude Greiner

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DISH Network already drew the line in the sand when they purchased Blockbuster and did that big campaign last fall trying to get customers to convert over.

I predict Directv will partner up, or if anything allow a netflix type application run on their receivers so customers have access to it.
 

HanoverPretzel

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I don't want to seem anti-progress, but it seems like to me Netflix basically delivers a good service at an affordable price and with no contracts or strings attached. It's also relatively simple to sign up for, to cancel, or to place on hold (Can all be down with a few mouse clicks online). As soon as they tie themselves to a cable or satellite provider, a lot of that flies out the window. All of the sudden there are potentially prerequisites to purchase before you can get the service, extra costs for not bundling, having to call and sit on hold to cancel service, etc.. Netflix has been making a lot of bad business decisions lately, and this to me would be another.

Stay independent. Stay inexpensive. Stay easy to put on hold or cancel, and stay easy to sign back up with. Don't lose what makes you special in the eyes of consumers.

One of the reasons I am with Netflix for a DVD at a time right now is because when I had to put it on hold, it took me 60 seconds or less and I could do it while websurfing and listening to my music, all online and without having to interact with a sales person or having to pick up a phone. Knowing that it was that easy to drop, made it much more attractive for me to activate my account again a few months later when my financial circumstances allowed for it and I felt like watching some movies. And at $7.99 as a basic monthly price, that's kind of hard to beat, especially knowing it's stand alone.
 
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Mochuf

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I've always thought that partnering with Netflix, Hulu or Amazon was in the best interest of the industry. Instead of fighting them and wishing them to go away, work with them to legally get your product into more hands at a more resonable price. The popularity of dvr's shows that the time of appointment tv is over. Streaming/on-demand is the future of home entertainment. And it's better to have a joint venture with the guys who already are successful at it, then inventing the wheel all over again.I've been with Netflix since they strarted streaming through the Xbox 360. We had the 3 disc out plan and the streaming came free. We reduced the plan to one disc out when we signed on with Dish two years ago and dropped the disc plan when Dish added discs by mail with our Plantinum package. They have added so many tv series lately that we have been considering lowering our package with Dish. Sure we'd be a season behind, but we didn't have a pay-tv service until two years ago. So there are plenty of series we never watched.
 
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whitewolf8214

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there was a rumour awhile back that directr may get involved in offering metflix to counter dish and bbmp but looks like it may not happen now.i was hoping but thats ok imo :)
 

Yespage

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I don't want to seem anti-progress, but it seems like to me Netflix basically delivers a good service at an affordable price and with no contracts or strings attached.
They were able to do that because the cost of rights to the films were much lower a decade ago. Now the studios are wising up, and charging a lot more for these rights. Netflix can't continue charging the same low price if the cost to the rights skyrocket.
 

dare2be

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They were able to do that because the cost of rights to the films were much lower a decade ago. Now the studios are wising up, and charging a lot more for these rights. Netflix can't continue charging the same low price if the cost to the rights skyrocket.
Right. Add to that the competing services like Hulu that are basically joint ventures by some of the same content providers/studios that are charging for those rights. They aren't going to offer the rights to a competing Netflix service at a price that would shoot their own streaming service in the foot.
 

Least

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Unfortunatly, Netflix is losing money. That's the bottom line. I'm surprised if HBO is who they are after for competition, it should be Blockbuster. When you say HBO it makes me think that they are looking to be movie network, and if that's the case, look at the last new movie network EPIX. Dish and Verizon were the only big providers to pick them up. If it's to link their product to a company like Dish/Blockbuster, DirecTV would make the most sense.
 

Yespage

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My assumption is that Netflix may be interested in creating some of its own content, which would give another reason to have Netflix, if they want to see the second season of a Netflix exclusive program. Original programming may be the only way to help separate themselves from the competition that is growing.
 

HanoverPretzel

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They were able to do that because the cost of rights to the films were much lower a decade ago. Now the studios are wising up, and charging a lot more for these rights. Netflix can't continue charging the same low price if the cost to the rights skyrocket.

Well, even though I do see streaming as the wave of the future, and even though getting a DVD by mail seems outmoded compared to everything else I do (e-books, MP3 music, e-banking, e-billing, etc.), the fact is that with streaming Netflix (and other similar companies) are always running the risk of being cut off at the knees by the content providers, and their streaming selection is really lacking relative to their DVD selection.

The reason the DVD selection is so much more expansive is that because of first sale doctrine, Netflix could just run around buying DVDs retail, or on e-bay or whatever if the movie companies tried to shut them out, so the movie companies have an incentive to meet them halfway. With streaming, the movie companies set the terms almost completely and often just toss Netflix scraps like B-movies and really old stuff that fall short of being considered classics.

The reason I have the DVD package instead of the streaming package is that I can get the movies I want to see that way (I just save the new movies when I see ads that they're hitting the theatre, and 9 months later or whenever when Netflix gets them, they're added to my queue. Same with watching tv series a bit on delay. And I can catch up on classic movies in between). The streaming selection is too minimal and not really a good value for me- very little top new movies, surprisingly thin selection of classic titles, etc.. I can't find enough to watch streaming to justify it.

The DVD package lets me see all the latest hit movies- just on a less than one year delay- plus almost whatever classics or tv series I want to catch up. 90-95% of what I look for is there. When I used to have streaming (Back when it was a throw-in and not a separate package), I'd say maybe 5-10% of what I was looking for was there. I just couldn't find enough that I really wanted to watch on the streaming service to justify paying the price they want for it.

Maybe the future of Netflix actually is DVDs- where they can still circumvent the studios in a pinch and provide a top notch selection at a low price. The streaming they provide now is worth maybe $1 or $2 a month due to the limited selection, and they charge $8. And then if they go get a better selection and make it worth the money, they'll then have to raise the price to maybe $20-$30 a month, which won't be worth the money even with an increased selection. I just don't see that developing in a way that I'd be happy with, even though in theory streaming to a cheap box near a tv set would be much easier then mailing dvds back.

Hollywood is too greedy. I like their content when I can get a large selection at a low cost, like with Netflix DVD. If that changes, I'll go back to what I did a few years ago- almost never seeing movies. They'll get none of my money instead of a small portion of it regularly. I'm not "addicted" to movies the way I am to sports and stuff like that. I can take it or leave it. It's entertaining if I can pick what I want and the price is right, but if I can't or it's not, I can read a book or listening to some music or surf the web or watch something on television instead.
 

yaz96

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Unfortunatly, Netflix is losing money. That's the bottom line. I'm surprised if HBO is who they are after for competition, it should be Blockbuster. When you say HBO it makes me think that they are looking to be movie network, and if that's the case, look at the last new movie network EPIX. Dish and Verizon were the only big providers to pick them up. If it's to link their product to a company like Dish/Blockbuster, DirecTV would make the most sense.

Blockbuster is essentially a non-entity. Nobody cares about them.
 

yaz96

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Dec 22, 2005
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My assumption is that Netflix may be interested in creating some of its own content, which would give another reason to have Netflix, if they want to see the second season of a Netflix exclusive program. Original programming may be the only way to help separate themselves from the competition that is growing.

They have already done this. Heard of Lillehammer?? And there is another series debuting later this year, and then the Arrested Development series.....
 

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