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Netflix Need Not Fear New Amazon Prime Spinoff Service

April 17, 2016

Yahoo! Finance & News

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 half of what Amazon Prime has managed, and 14% for Hulu.

From the article "Netflix Need Not Fear New Amazon Prime Spinoff Service" by Andrew Wallenstein.

Previously In The News

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However, that's not the most noteworthy detail of the Parks Associates report for Charter and Comcast shareholders. Curiously, only about one-fifth of those internet users questioned subscribe to a st...

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This Roku News Is Not Getting the Attention It Deserves

But it's not the only game in town. Amazon's Fire TV Stick is a very capable competitor, and it has been rapidly gaining ground. According to Parks Associates, Roku commanded 36% of U.S. market share...

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