Monday, September 21, 2020

WILL THE INTERNET ABSORB HOME VIDEO?

January 10, 2012 by · Leave a Comment 

Netflix founder and CEO Reed Hastings predicted on Monday that “the era of broadcast TV is going to evolve to click-and-watch with the Internet.” Hastings made the comment in an interview with the London Independent as Netflix launched a low-cost streaming service in the U.K. and Ireland costing just £5.99 ($9.25) per month. Amazon-owned LoveFilm, which like Netflix in the U.S. operates both a streaming and a DVD-by-mail service, quickly countered, saying on Monday that it will offer its own streaming-only service for £4.99 ($7.75) per month. Netflix is currently offering a free month’s subscription to allow users to compare its service with LoveFilm’s. Both companies are currently attempting to make exclusive deals with film studios and TV broadcasters in the U.K. but LoveFilm seems to be slightly ahead on that score. The U.K. debut pushed Netflix’s stock 13 percent higher on the Nasdaq, where it closed Monday at $98.18. At midday today it was trading at $94.95, down 3 percent; only last month it was trading at $62.37.