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How robust will Netflix’ business model turn out to be?
The acquisition of Lovefilm by Amazon has really got me interested in this business of online DVD rentals and video streaming. It’s fair to say that Lovefilm’s key metrics are completely gazumped by Netflix’ numbers, its US competitor: 1.6m European subscribers (Lovefilm) vs.19.7m US subscribers (Netflix). But even a successful business like Netflix is not…
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Amazon and its quest into the online video market
Earlier this month Amazon, the world largest online retailer, acquired Lovefilm which specialises in online DVD rental, either via post or through streaming films online. Even though Amazon already owned a minority stake, this still is the kind of acquisition that grasps my imagination. It makes me wonder about things like ‘strategic motive’ and next steps.…
