Netflix and the market for digital video

Netflix CEO Reed Hastings thinks he can win the video subscription war | The Verge: "Hastings knows that the market for digital video is enormous. He doesn't have to evangelize Netflix's strategy any more by pointing out how many companies are copying it. He's pinned Netflix's addressable market at 60 to 90 million streaming households in the US alone. Will Netflix get those customers? Will Amazon, Hulu, or Redbox? If they launched a standalone streaming service, would HBO or Apple? How many digital streaming customers would subscribe to multiple services? What's the upper limit? What about cable and satellite (MVPD) customers? How many of them are still looking for somewhere to spend their last $8 to $12? How is a Dish subscriber different from a Comcast subscriber? What can Netflix offer those people that HBO Go can't? To answer those questions, Netflix needs something exclusively its own — not just different series, but an experience that you can't find anywhere else."


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Popular streaming channels: Netflix: The king of movie and TV show streaming. $7.99/mo. YouTube: User-submitted videos and some original programming. Free. Hulu Plus: TV shows days after they air and some movies. $7.99/mo. Amazon Prime: A strong Netflix competitor with other Amazon benefits. $79/year. Crackle: Movies and TV mostly from Sony's library. Free. Vudu: Movie rental site owned by Walmart. Fees per movie

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