Netflix Tests Another Way to Charge for Password Sharing
bloomberg.com
bloomberg.com
Blockbuster had physical stores that controlled distribution and much like McDonalds isn't a burger company, Blockbuster held good real estate that media owners couldn't have.
Netflix should have pivoted to providing white-labeled streaming solutions to media companies, but thought that their streaming lead would last for ever. Unfortunately, no one can outlast the Mouse.
Even though it took Disney years to come up with their own streaming service, they have an immense, unchallengable media offering - Disney, Pixar, Fox, Marvel, Star Wars and more. And now, the "real estate" is as simple as installing another app on your device.
Now, Netflix is doomed for the simple reason that every rights holder is just making their own streaming app. Eventually Netflix will only have their originals, which can't stand a chance against Disney, Paramount, NBC, and so on (not for quality, but just on pure quantity) who will just not renew licencing to Netflix.
It seems Microsoft wants to save them but most likely via a low profile partnership first but may also want to rename the ark to Microsoft® Netflix®, since they don't have their own streaming and movie service.
Netflix may have some time for now, but with too many animals on board, 70% down of the stock price and hundreds of thousands of users cancelling especially with lots of house holds cancelling unnecessary streaming subscriptions, Netflix cannot afford to race to the bottom in prices and sit around and do nothing. Apple, Amazon, etc can afford to play that game and drive these prices down, even closer to free if they wanted to.
People will happily pay $2 to add another sub-account user but if you still can't stream at the same time they will just cancel lol.