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Print 15 comment(s) - last by TheJian.. on Feb 19 at 7:44 PM

Netflix and TWC were in talks before the acquisition, but nothing solid yet

Netflix has been working hard to form ties with cable companies and have its app placed on set-top boxes, and just as it was in talks with Time Warner Cable (TWC) about such a deal, Comcast came along and bought it.
 
According to Bloomberg, Comcast's acquisition of TWC could slow Netflix's talks with the latter. Discussions of a potential deal will likely have to wait until the acquisition is complete by the end of 2014.
 
Striking a deal with TWC would've been a huge win for Netflix, as it would have pressured other cable companies to offer the service that 44.4 million people currently subscribe to.
 
While Netflix has successfully penned such a deal with two European cable services, U.S. companies have proven to be a bit more difficult. 
 
Comcast is one of the major U.S. cable companies that have previously been skeptical of allowing Netflix onboard. Instead, Comcast has its new X1 set-top box platform, which could eventually challenge services like Netflix because it delivers content via the cloud and can be updated to mimic some of its features. 


[SOURCE: The New York Post]

However, Comcast has been promoting X1's use of Web apps for traffic and weather as well as movie and TV rentals/purchases. It could, at some point, add Netflix's app to the platform as part of its Web offerings.

Netflix has a lot to offer, with rights to $7.2 billion in content over the next five years. It also has original programming like "Orange is the New Black" and "House of Cards," which have both turned into major hits. 

But Comcast is likely walking a line between offering Netflix as a way of enticing customers, and worrying over whether Netflix will destroy its current business model. 

Netflix could also still benefit from the deal if federal regulators were to demand conditions that benefit independent Web services after looking over the final transaction. This could prevent Comcast from charging online companies for access to its Web users.

Comcast acquired Time Warner Cable (TWC) in an all-stock transaction of $45.2 billion earlier this month. 

Source: Bloomberg



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Whole situation....
By cscpianoman on 2/18/2014 11:20:46 AM , Rating: 2
This had better not go through. This would be disgusting to consumers and another major hit to the United States as a world player with information technology. I was listening to some talk radio and the pro-merger talking head's supportive comments were laughable.

1. Comcast states there is no competition between TWC and Comcast. The answer is true because there is no competition! We are dealing with regional/state monopolies and now we are going to create a "power-house" of lobbying money that will dictate policy from the FCC for years to come!

2. More regulation will occur because of the merger. Answer is true, but on the terms Comcast sets. There was some discussion that net neutrality would be in the contract, but only until 2018, which means in 4 years we take a bullet to the head of net neutrality.

3. There would be faster increase in speed. Answer - false. There will be a token layout, but not at a significant rate and not for a sustained period of time. It will also be at the expense of the consumer and will be data capped anyway.

This whole thing stinks for consumers and is a dangerous pathway we are taking. I am hoping the outcry will be significant enough to force the government to ignore the lobbyists and be more concerned about the American people than the American dollar.





RE: Whole situation....
By hpglow on 2/18/2014 1:26:54 PM , Rating: 4
I hope that the deal falls through. It would be one thing if Comcast had their customers best interests in mind, but when you own a major movie studio it is impossible. I think it is time for the government to throw a leash on Comcast and Viacom for their innovation stifling practices.


RE: Whole situation....
By TheJian on 2/19/2014 7:44:36 PM , Rating: 2
Agreed, kill this deal immediately please.

OR, let google rule (along with hopefully, MS/Apple, who I hope join the internet race), which I just got done seeing on TV is possibly coming to phoenix AZ :) I'll be more than happy to switch from cable to save $40, be 20x faster and unlimited. I'm unlimited now but only because of signing for 3yrs at $110. In truth google could charge me $110 for 20x faster anyway...LOL. I'd switch for the same price at 5x faster...ROFL. OK, I'd probably do it for 2x with no price change. I'm sure my COX youtube problems would go away with Google serving me my youtube videos.

I don't think anyone but Google/Apple/MS (Intel, Cisco, Qcom have the cash I suppose also) can get us cheaper and faster internet. I'm also sure at some point I'll say the same thing about these guys as I do about current cable/phone companies. The second anyone truly dominates an industry they start to act different, which is the norm for monopolies I guess :(


Done with it...
By bah12 on 2/18/14, Rating: -1
RE: Done with it...
By Reclaimer77 on 2/18/2014 10:26:49 AM , Rating: 2
Netflix isn't run by "the studios", that's Hulu. Which sucks, makes you pay for commercials, and only has new content that you can watch on TV anyway.

I disagree that Netflix has pathetic selection, you must have poor taste.

House of Cards season 2 just dropped. That alone is worth the price of admission.

I guess if all you care about is the newest movie releases, yeah, Netflix isn't for you and never has been. Have fun humping it to Redbox and back!


RE: Done with it...
By atechfan on 2/18/2014 10:31:12 AM , Rating: 2
Exactly. Netflix is a great place to find gems that I didn't know about. The documentary section alone is worth the paltry price for me.


RE: Done with it...
By BRB29 on 2/18/2014 11:25:15 AM , Rating: 2
they tend to have most of the big blockbusters as soon as they are out of theaters. Some only last a few weeks before it's gone but I can't complain.


RE: Done with it...
By Spuke on 2/18/2014 10:32:11 AM , Rating: 3
Pay per view? Have you EVER used Netflix before? Or even read an article about it? NO ONE on Netflix pays per view. $8 a month and I watch all the content I want. How is that even remotely close to pay per view where you PAY PER VIEW. Jesus some of you people are IDIOTS. Also, like Rec said, Netflix isn't studio owned. That's Hulu and it does suck. You need to bone up on your tech dude.


RE: Done with it...
By bah12 on 2/18/2014 1:26:54 PM , Rating: 3
Never said it was, I meant to imply that Netflix got us hooked early on when they actually had a pretty large selection of new releases. You cannot argue that that hasn't gone away. Yes it is good for some niche series, heck I even got hooked on Walking Dead via Netflix. But as a place to watch new movies, not so much.

My contention is that it was the plan all along. The studios will simply never release new stuff again via any streaming service but their own. And then you are going to be paying a PPV model. This is what they have desired since the early days. Studios hated rental, IIRC they even tried to make VHS rental illegal in the very early days. To this day they don't want you owning anything, in fact their DRM and court cases have all fought tooth and nail to make it as difficult as possible to do what you want with "your" movie.

Not saying any of this is Netflix's fault, or that it has no place. Just that as a Movie resource I'm personally done with it. I keep my series up to date on my DVR. What I miss is a place to watch a new release once that I don't want to buy. Short of redbox (nearest one is 11 miles), or mail service, my options just don't exist anymore.

Prime example this weekend we got together for movie night at my sister's. Didn't want to watch anything in their collection, everyone in the group had seen anything of interest on Netflix. Our only option for a quick fix was fios on demand. Just saying that if you think this model has cropped due to market demand, you'd be flat wrong. It is what the big studios wanted all along. I highly doubt you will see any more same day DVD release and streaming from anyone other than studio ran streaming service (aka hulu, vudu...).


RE: Done with it...
By BRB29 on 2/18/2014 2:47:12 PM , Rating: 2
They have most new movies!!!! the only problem is that it is only available for a very limited time via streaming.

Else, your other option is pay a few more dollars to get your DVD rental, then you get pretty much any movie, documentary, show you want to watch that's out on disc.

Seriously for $8, you get streaming. For $13 you get streaming + rental. I have no idea if the price increased but I subscribed to the $13 deal a while back. Even if it's up to $20, I'd still pay it.

Hulu is about the same price with less movies but more up to date shows. The way I see it, Netflix is the better deal and there's absolutely NO ANNOYING ADS!!!


RE: Done with it...
By atechfan on 2/18/2014 10:39:57 AM , Rating: 2
Huh? Rental IS pay-per-view. Well, I guess you could technically watch the VHS you rented over and over until it was due back, but for most people, one rental equalled one viewing.


RE: Done with it...
By robert5c on 2/18/2014 2:15:52 PM , Rating: 2
you right, it is pay per view, but that's pay per view to the rental company, not the studio. the studio made money only one time of the individual vhs sale. the rental company got paid per view, and some of the costs back reselling the used vhs/dvd when they no longer needed it.

the the OP meant is that it appears the studios and networks played ball with netflix to get us to move away from in-person rentals. and it worked, those video stores are all pretty much closed.


RE: Done with it...
By Reclaimer77 on 2/18/2014 3:31:06 PM , Rating: 2
That's an absurd conspiracy theory.

Played ball? They have made things as difficult on Netflix as possible.

The video store rental model was doomed, killed off by broadband.


RE: Done with it...
By FITCamaro on 2/18/2014 2:29:32 PM , Rating: 2
I cut the cord back in August and still haven't worked through everything Netflix has to offer. Not even close.


RE: Done with it...
By AdamAnon on 2/18/14, Rating: 0
"The whole principle [of censorship] is wrong. It's like demanding that grown men live on skim milk because the baby can't have steak." -- Robert Heinlein














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