[opendtv] Re: Netflix Is 6% of TV Business, 43% of Ratings Decline — Nathanson | Re/code

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Mon, 4 May 2015 01:39:29 +0000

Craig Birkmaier wrote:

The reality is that there has been this type of competition in the
syndication market for decades, by appointment.

Not the same type of competition at all. There was only that one monopolistic
carrier - your MVPD, to offer these syndicated shows.

Why can HBO Now charge nearly twice the monthly fee as Netflix?

They can only do so if consumers prefer their mix of programming. It's not just
about original shows. Maybe they have more recent movies, for example. And it's
not yet clear whether HBO Now's initial monthly price will be successful.

And, naturally, Netflix won’t sit still. And other new entrants are likely to
come along too. That's how competition works.

Bert


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