Disney interested in Netflix?

[rteetz]

looks like Disney is looking into many options...

http://wdwnt.com/blog/2016/09/rumor-disney-may-buying-netflix/

 

[Ai12gani]

Wouldn't this just void the point of Netflix, would other studios movies and shows still be on there or will everything be the same?

 

[rteetz]

Wouldn't this just void the point of Netflix, would other studios movies and shows still be on there or will everything be the same?

Just because Disney owns it doesn't mean it would become all Disney. They could still work out deals with other companies.

 

[mikeamizzle]

It would be an incredibly expensive acquisition given their current valuation/earnings. Not sure how they would feasibly be able to recoup on that investment in any less than a decade..

 

[luisov]

It would be a great way to deal with the ESPN situation. An expensive acquisition, yes, but probably intelligent in the long run.

 

[mcd2745]

makes about a million times more sense than a Twitter acquisition would

 

[Missyrose]

The acquisition of the MLB streaming company seemed a better platform for ESPN than Netflix. The interest in Netflix seems to be a "if you can't beat 'em, join 'em" way into the direct-to-consumer streaming for its non-ESPN movies and TV shows. I can imagine how Disney could market a Netflix+ subscription where you get the regular Netflix content and also exclusive access to the Disney vault. Much easier than starting from scratch.

 

[Keels]

A Netflix acquisition would purely be about acquiring a subscriber base and being able to find a way to improve existing monitization.

I don't know that there is much Disney could do with the product to improve it enough to make more money than Netflix currently makes.

And it won't matter for ESPN - they'll never be able to afford enough exclusive rights to live sports to make this a viable avenue. They can barely afford the sports rights they do have, and very few are entirely exclusive.

 

[lockedoutlogic]

The financials floated this idea about 6 months ago...it was mostly just analysts takes - nothing substantial.

I don't know if there's any fire behind this smoke.

A buyout of Netflix would be hush hush I would think...sealed to prevent leaks. Early word might create a bidding war or moves by competitors...especially Comcast.

 

[Travis B]

makes about a million times more sense than a Twitter acquisition would

Exactly this. *** is Disney going to do with twitter, like seriously?

 

[lockedoutlogic]

Exactly this. *** is Disney going to do with twitter, like seriously?

Well...it's just some jibberish at this point...

But if it turns out to be true I agree with you 100%

 

[Lee Matthews]

I love Disney Aquisitions but I too am not sure what they could do with Netflix. Disney will keep putting prices up and subscribership will drop. Except for paying more more recent content, there's not much more they could add without making up prices.

Twitter is another odd one, but probably a lot cheaper than Netflix

 

[Irish_Mike]

If they did move to acquire Netflix, I could see them tying it in with their Disney Movies Anywhere service. Pay an additional amount every month with your Netflix bill, and get the ability to watch Disney movies on the service.

That's the only reason I could see them going for Netflix, especially when they already have Hulu.

 

[rteetz]

I love Disney Aquisitions but I too am not sure what they could do with Netflix. Disney will keep putting prices up and subscribership will drop. Except for paying more more recent content, there's not much more they could add without making up prices.

Twitter is another odd one, but probably a lot cheaper than Netflix

I think both have to do with streaming. Disney is weighing their options with how ESPN subscribers are dropping.

 

[Lee Matthews]

I think Disneylife App here in the U.K. Is doing quite well. It's advertised everywhere but as much as I love Disney, £9.99 is a tad rich for me to pay when it's essentially a tablet app.

If that App was available on Games consoles, offered the entire back catalogue of Disney toons as well as every movie Dainey has done, I'd be sold on it.

 

[DDLand]

This one is interesting. It fits more within their core competencies better, but is still quite risky. It's a very very expensive buy.

I find this still troubling because even at full build out this business will remain very competitive, expensive, and still unlikely to reach the profitability of ESPN.

Also I don't see why competitors wouldn't immediately just go to Amazon or demand greater concessions from Disney/Netflix.

This is a safer buy than Twitter, that's for sure.

 

[dreiwhit]

A Netflix acquisition would purely be about acquiring a subscriber base and being able to find a way to improve existing monitization.

That's the first thing I thought of. With Disney's recent track record with the parks, I would be afraid they would charge more for Netflix and give you less!

 

[HuskieJohn]

Kind of off topic but still Disney & Netflix...but I am really disappointed with the Disney selection on Netflix even though the agreement between them is in full swing.

I am not looking for any of the top tier movies but they way it was publicized I was expecting a big block of decent movies from the past 15-30 years...and maybe only the better ones from before that but only available in a much more limited run.

 

[PortMickey]

Here is an article that explains why Disney is looking at Netflix:
The latest fodder from the rumor mill actually makes quite a bit of sense for Disney stock

 

[ElyseInWonderland]

Another reason this could be a good move for Disney-- they've got a proven model for introducing a new, young audience to their classic films that they're still profiting from and building on in the parks. Put ALL of the classics on Netflix (Lion King, Beauty and the Beast, Aladdin, Snow White, etc.) increase the price a few bucks, and suddenly it's fresh and exciting content to a new audience who will stream them one after another.