Richard Flamm
The Paw Print
Netflix’s subscribers have reached over 44 million, reaching a vastly increasing network of people while bringing in unprecedented profits. The Guardian reports that the massive jump in viewership despite competing companies like Amazon and Hulu is in part due to exclusive deals and titles including immediate hits like “House of Cards” and “Arrested Development.”
Furthermore, the immediacy, low-price, and availability has challenged traditional movie rental locations that are still fresh on many user’s minds, such as the once mega-giant Blockbuster.
CNN Money notes the 2.3 million viewer jump in Netflix paying customers, which has resulted in a 16 percent jump in stock. The CEO, Reed Hastings, was happy to report the “great outcome,” and added that he expected “years of member growth ahead.” He also went on to dissuade consumer fears of price hiking, saying that existing members would benefit from a “generous grandfathering of their existing plans and prices.”
Meanwhile, the BBC has noted the shrinking market of cable which fell 6 percent last year. The swelling company certainly has proved more than the rental giants of yesteryear expected: NBC notes the irony of Reed Hasting’s offer to sell out to Amazon and Blockbuster when Netflix was barely on its feet. What was offered for the burgeoning company? Amazon offered 12 million, and Hasting’s only asked 50 million from Blockbuster.
What’s Been Said…