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Netflix Need Not Fear New Amazon Prime Spinoff Service

For those who think Amazon has the clout to steal away Netflix subscribers, the logic there isn't too easy to follow: the $9 price point for the new service simply isn't compelling enough to siphon away any meaningful portion of the Netflix sub base, and the Amazon library of originals and licensed TV shows and movies isn't substantially better, either.

It's more likely that Bezos is betting that Netflix subs are willing to pay for a second or third SVOD option (Hulu) than putting a dent in the competition. Parks Associates recently estimated that 52% of U.S. broadband homes take Netflix-almost double what Amazon Prime has managed, and 14% for Hulu.

From the article "Netflix Need Not Fear New Amazon Prime Spinoff Service" by www.newsmax.com
 

Previously In The News

AT&T's DirecTV Now Is A Big Bundle When Consumers Want Skinny

DirecTV Now, something of an online replica of AT&T's satellite offering, will face more competition than its analog ever had on land. There's the genuinely skinny bundle of Dish Network's (DISH) Slin...

Most Broadband Homes Have Pay-TV and OTT Subscriptions

More than half of all U.S. homes with broadband subscribe to both a pay-TV service and at least one over-the-top video service, according to a new study by Parks Associates. In its OTT Video & TV E...

Home, Where the Smart Is

While the home is shaping up to be the battleground, cable operators and other service providers are jostling to position themselves as the aggregation and management point of this emerging class of s...

Netflix Prods HBO to Go 'Binge-First' With New Seasons of Original Shows

No longer would HBO be reliant on a broadband operator to deliver Game of Thrones, The Sopranos or Last Week Tonight with John Oliver. (HBO does distribute directly to consumers via streaming service...

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