Wouldn't it be better if Disney bought Netflix. Sure it's a much more expensive move, but consider their large (and pretty loyal) customer base, content library, data insights on what people want to watch, award winning movie and series strategy, etc. Disney could populate Netflix with more content of their own, own all the revenue, while still providing users with a vast variety of content. Netflix brought all the content together in an awesome and simple experience. Large co's are smelling dollars so they start to build their own Netflix clone with their own content. Customers don't want to pay for 20 different subscriptions. Give us 1 simple app, with all the content, and we'd probably pay a lot more for it.
Disney is obviously thinking they have the winning strategy with their large license database. They'll obviously lure people in with Star Wars exclusive content, Pixar, etc. But if they'd go the extra mile of buying Netflix, and giving us 1 subscription 'to rule them all', they'll prove their care for their customers.
With 10% of netflix customers volume but how many will drop netflix of that number for disney? Disney will do fine so will netflix. Plenty of room for both.
What? netflix's market cap is ~25% of what disney is worth, I would be shocked to see disney or really any company make such a large acquisition without it really just being a merger.
I don't know. I think Netflix has a good idea of what they'd like their future to be, but no clear path to get there. Their subscriber growth is slowing, and their content library is shrinking (and was always pretty anaemic outside of a few core territories). Being owned by Disney would give them guaranteed access to a AAA content catalogue, and far more firepower in reciprocal licensing negotiations. And for their part, Disney gets a ready-made, world-class streaming service.
While I'm apprehensive about the idea of this as a Netflix subscriber, I think it probably makes a fair bit of sense for both businesses.
Disney is going to lose this bout. Netflix's is more diversified than Disney and one has to ask would the actual consumer want to have two or three streaming services?
Netflix is doing anime, soon comic book movies (they bought Millar world) and they don't have the bricks and mortal politics that the studios have with theaters throughout the planet. i.e. Asia and religious countries.
I truly hope that Netflix doesn't sell to Disney; I can't imagine a worse actor in the IP space than Disney. I'm not that worried though, I think that Netflix sees its future as something more than being bought out at this stage. Then again, money does speak its own powerful language.
I think Disney is going to find that it’s harder to build a massive online service than it looks and Netflix will become an attractive merger target if they ever falter too badly.
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