Netflix May Not Survive the Latest Battle; Technology Report by Profit Confidential
I think there might be a significant hit to the corporate earnings of Netflix if many of its clients decide that a bundled cable package of current TV and an online database of streaming movies that’s either free or only $4.99 a month might entice many customers, Cekerevac.
Cekerevac also highlights that Comcast is not the only firm Netflix has to fight for its corporate earnings. Amazon is continuing to sign deals with Hollywood companies for its streaming service, Cekerevac. “Amazon is a giant that relies on slim corporate earnings, which can only hurt the future earnings outlook for Netflix.”
Management needs to differentiate Netflix from the crowd, or try to sell the firm to a larger company like Apple Inc. or Google Inc., Cekerevac.
While Netflix still has a fighting chance to survive, Cekerevac believes it will be a very tough road over the next several years, as the earnings outlook remains very murky.
Corporate earnings will most likely be hurt by lower-priced competitors enticing customers to switch away from Netflix,Cekerevac.
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