The changing landscape of motion pictures and television in the United States, and globally, is all due to the internet and the ability to take the internet with us everywhere we go via our smart phones.
Wired has a piece on the money HBO is making vs. that of Netflix but it also delves a bit more in to the more esoteric elements of what is playing out in this space. Well worth reading.
http://www.wired.com/business/2014/02/netflix-makes-less-money-hbo-long/
Here is a snippet from that piece:
With its HBO Go app and on-demand offerings, HBO is by necessity making itself look more and more like Netflix. But Netflix has a head start. Its product is seamless, whereas HBO is fragmented. It sets the pace while HBO follows. Those advantages haven’t made Netflix more profitable yet. But the recent history of new digital technologies and the new business models they spawn shows it’s the inventors who win, because they set the terms.
In that context, the biggest threat to Netflix’s future success isn’t so much HBO as Amazon. For Prime customers, Amazon’s streaming video app is the 21st-century equivalent of changing TV channels. But Amazon has the advantage of letting you stream any video you’ve bought or rented through Amazon Instant Video, which Netflix can’t match, and which studios probably like better. Along with scoring some exclusive deals, Amazon is making its own dive into original self-produced shows.
Happy reading,
J.W. Gant
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