As more and more people are cutting the cord when it comes to home entertainment, competition in the industry has never been more intense. Broadcast gave way to cable before satellite became an option, and now technology is driving the fight and offering an increasing number of choices. Four identifiable segments are beginning to emerge: cable and satellite, streaming video, TV enhancement, and advanced options.
In Part 1 of this series, I examined the traditional players — including cable and satellite providers, as well as communications companies that have begun to get into the game. Today, I’ll examine the various streaming video options. There is some overlap in certain cases, but by understanding each segment individually, you’ll get a clearer picture of the overall industry.
The streaming video players Netflix, Inc. (NASDAQ:NFLX): As the first mover in streaming video, Netflix has a clear advantage over its competitors. Netflix, Inc. (NASDAQ:NFLX) stock has taken investors on a roller-coaster ride over the past few years. In 2011, shares were trading just below $300 when the company announced the massive price increase and the bifurcation of the DVD business. Netflix, Inc. (NASDAQ:NFLX) stock became a case study in how to kill the golden goose, seeing the stock drop to just over $60 last fall. The stock is now knocking on $250 again.
As a first mover, Netflix, Inc. (NASDAQ:NFLX) has the ability to not only continue build a significant subscriber base but also to forge critical strategic partnerships and iron out glitches. Recently, Netflix, Inc. (NASDAQ:NFLX) announced user profiles that will allow as many as five users per account to customize recommendations and preferences. The company is working toward constantly improving the user experience.
What CEO Reed Hastings is really doing right, and another reason Netflix, Inc. (NASDAQ:NFLX) is strongly positioned among streaming video competitors, is producing original content. In the entertainment business, content is king. While some critics have observed that Netflix has had mixed success with its original shows, it’s moving in the right direction. Furthermore, the move by Hastings indicates that the CEO understands the importance of content in the long-term success of streaming video.
Amazon.com, Inc. (NASDAQ:AMZN): Amazon Prime is currently the most significant competitor to Netflix in the streaming space, and this year saw the fight intensify. Not only did Amazon.com, Inc. (NASDAQ:AMZN) aggressively go after some of the licensing deals that had once belonged to Netflix — remember, Amazon.com, Inc. (NASDAQ:AMZN) has a significantly larger balance sheet to play with — but it has also ramped up its own original production effort. Amazon.com, Inc. (NASDAQ:AMZN) recently announced that it’s putting six more pilots into production, most with a focus on kids’ programming — including a pilot aimed at 6- to 11-year-olds and a first-ever live action show.
According to a recent study from NPD Group, Amazon.com, Inc. (NASDAQ:AMZN) has made real inroads: In the first quarter of 2012, Netflix had 76% of single-subscription households; that number fell to 67% in the first quarter of 2013. The study also found that 10% of households now have subscriptions to both Netflix and Amazon Prime. Furthermore, Amazon.com, Inc. (NASDAQ:AMZN) has added 11,000 titles in 2013 to bring its library to roughly 41,000 titles.
One of the advantages for Amazon, and its customers, is that the $79-per-year membership gives you free two-day shipping on most Amazon products. This means that Amazon can appeal to consumers for reasons beyond home entertainment. When mixed with the depth of its wallet, Amazon is well positioned to push Netflix.
Redbox Instant: This joint venture between Outerwall Inc(NASDAQ:OUTR) and Verizon Communications Inc. (NYSE:VZ) is the newest addition to the streaming video battle. The new service gives you access to a distinct number of rentals at Redbox kiosks plus access to the 5,000 titles currently available. CEO Scott Di Valerio explains that where Redbox is the outer wall of old video stores (where new releases were displayed), the streaming service fills in the center of the store (older titles). While the service is in its infancy, one angle that could be a game-changer for Redbox Instant is mobile. With Verizon Communications Inc. (NYSE:VZ) as a JV partner, you can imagine that Redbox Instant could be the first streaming video player to truly make the jump to mobile. Netflix, for example, is available on most mobile devices, but the data usage is significant. If Verizon chooses to offer Redbox Instant to its wireless customers, while giving them a break on data, this could change the landscape.
But how do you profit?
All three of these options offer a solid investment outlook and could be worth owning — each for different reasons. Netflix is ahead of the pack, although the stock seems like it’s getting pricey at current levels. Longer-term, however, it’s adding subscribers, and that’s the key. Amazon has the balance sheet to “steal” content from its competitors, so watching key licensing battles will be critical. Redbox Instant is still early in the game, but the Verizon angle has potential. Until a clear winner emerges, a balanced allocation to all three options is the most conservative approach. Long term, it will be key to watch the content issue to determine whether streaming video profits can hold up.
Please look soon for the next parts of this series that will focus on the other two segments, and then consider the industry as a whole.
Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!
It’s the revolution reshaping every industry on the planet.
From driverless cars to medical breakthroughs, AI is on the cusp of a global explosion, and savvy investors stand to reap the rewards.
Here’s why this is the prime moment to jump on the AI bandwagon:
Exponential Growth on the Horizon: Forget linear growth – AI is poised for a hockey stick trajectory.
Imagine every sector, from healthcare to finance, infused with superhuman intelligence.
We’re talking disease prediction, hyper-personalized marketing, and automated logistics that streamline everything.
This isn’t a maybe – it’s an inevitability.
Early investors will be the ones positioned to ride the wave of this technological tsunami.
Ground Floor Opportunity: Remember the early days of the internet?
Those who saw the potential of tech giants back then are sitting pretty today.
AI is at a similar inflection point.
We’re not talking about established players – we’re talking about nimble startups with groundbreaking ideas and the potential to become the next Google or Amazon.
This is your chance to get in before the rockets take off!
Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.
AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.
The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.
As an investor, you want to be on the side of the winners, and AI is the winning ticket.
The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.
From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.
This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.
By investing in AI, you’re essentially backing the future.
The future is powered by artificial intelligence, and the time to invest is NOW.
Don’t be a spectator in this technological revolution.
Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.
This isn’t just about making money – it’s about being part of the future.
So, buckle up and get ready for the ride of your investment life!
Act Now and Unlock a Potential 10,000% Return: This AI Stock is a Diamond in the Rough (But Our Help is Key!)
The AI revolution is upon us, and savvy investors stand to make a fortune.
But with so many choices, how do you find the hidden gem – the company poised for explosive growth?
That’s where our expertise comes in.
We’ve got the answer, but there’s a twist…
Imagine an AI company so groundbreaking, so far ahead of the curve, that even if its stock price quadrupled today, it would still be considered ridiculously cheap.
That’s the potential you’re looking at. This isn’t just about a decent return – we’re talking about a 10,000% gain over the next decade!
Our research team has identified a hidden gem – an AI company with cutting-edge technology, massive potential, and a current stock price that screams opportunity.
This company boasts the most advanced technology in the AI sector, putting them leagues ahead of competitors.
It’s like having a race car on a go-kart track.
They have a strong possibility of cornering entire markets, becoming the undisputed leader in their field.
Here’s the catch (it’s a good one): To uncover this sleeping giant, you’ll need our exclusive intel.
We want to make sure none of our valued readers miss out on this groundbreaking opportunity!
That’s why we’re slashing the price of our Premium Readership Newsletter by a whopping 70%.
For a ridiculously low price of just $29, you can unlock a year’s worth of in-depth investment research and exclusive insights – that’s less than a single restaurant meal!
Here’s why this is a deal you can’t afford to pass up:
• Access to our Detailed Report on this Game-Changing AI Stock: Our in-depth report dives deep into our #1 AI stock’s groundbreaking technology and massive growth potential.
• 11 New Issues of Our Premium Readership Newsletter: You will also receive 11 new issues and at least one new stock pick per month from our monthly newsletter’s portfolio over the next 12 months. These stocks are handpicked by our research director, Dr. Inan Dogan.
• One free upcoming issue of our 70+ page Quarterly Newsletter: A value of $149
• Bonus Reports: Premium access to members-only fund manager video interviews
• Ad-Free Browsing: Enjoy a year of investment research free from distracting banner and pop-up ads, allowing you to focus on uncovering the next big opportunity.
• 30-Day Money-Back Guarantee: If you’re not absolutely satisfied with our service, we’ll provide a full refund within 30 days, no questions asked.
Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.
Here’s what to do next:
1. Head over to our website and subscribe to our Premium Readership Newsletter for just $29.
2. Enjoy a year of ad-free browsing, exclusive access to our in-depth report on the revolutionary AI company, and the upcoming issues of our Premium Readership Newsletter over the next 12 months.
3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.
Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!
No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a year later!
I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.
We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…
Should I put my money in Artificial Intelligence?
Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.
Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…
But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.
That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…
And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.
He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.
