Netflix fears union of Comcast and Time Warner
Shares of the online streaming company were up after a solid earnings report, but CEO Reed Hastings isn't happy.
But the real highlight from Netflix was the comments from CEO Reed Hastings about the proposed Comcast (CMCSA) and Time Warner Cable (TWC) merger. Despite the fact that Netflix recently made a deal with Comcast to pay extra for faster streaming service, Hastings has said that he doesn't approve of the upcoming merger.
But Hastings' fears may be justified: A combined Comcast and Time Warner Cable would create a titan in the cable industry whose services would be available to 70 percent of the U.S. population.
So what's the next step in this saga that investors should be watching for? On Tuesday's Stock of the Day, Motley Fool analyst Michael Finarelli says he'll be watching the merger proceedings between Comcast and Time Warner Cable closely, as will Federal regulators. Regardless of that, Michael believes that Comcast's position as a sort of toll bridge for cable and Internet streaming gives it an extremely strong hand.
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""""A combined Comcast and Time Warner Cable would create a titan in the cable industry whose services would be available to 70 percent of the U.S. population."""
why wouldn't this merger be classified as a monopoly??????
NEVER MIND what Netflix fears - It's what CABLE USERS (CUSTOMERS) FEARS ABOUT THAT UNION.
Monopoly is a fun game AND an extremely illegal American business practice.
Here's to hoping that Time Warner and Comcast get the exceedingly invasive financial cavity search they so richly deserve....
Go directly to jail, do not pass go........
Netflix we have heard is going to rise it's rates in June of this year. Again Netflix shoots themselves in the foot.
We've been checking Red Box, and they now steam movies, and more new releases for the same 8 bucks a month as Netflix and if you have Streaming and want say "the Lone Ranger" you have to pay another 7.99 to order the CD buy mail.
Red Box if you have the $8.00 per Streaming, you watch it right now at no extra charge !
Guess who is going to be getting my business when Netflix rises prices in June.
Idiots with their horrible streaming service should pay more just for the fact that they are stupid. Hard to believe that high tech televisions have come this far only for stupid people to watch low res streaming movies on a 10 inch tablet. You idiots are feeding the greed of the movie industry and you don't even realize it.
I was considering getting Netflix until I heard they plan to raise their prices. I already have to pay Internet fees, Netflix doesn't pay that and I don't pay that from them. That is the reason cable and satellite are high, because we are also paying for the transmission medium. But with Netflix, we are paying for that.
What Netflix should fear is losing customers and chasing away potential new customers.
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