Shares of Netflix ( NFLX) surged more than 3% in pre-market trading on Monday after a report indicated that the popular online video streaming service is in talks with cable TV operators.
Sources tell Bloomberg that Netflix is negotiating with several cable TV providers - including Time Warner Cable ( TWC) and Comcast ( CMCSA) and regional cable providers who include TiVo ( TIVO) devices as part of their equipment - to add its video streaming service to their set top boxes. Discussions are said to be in the early stages with no deal imminent.
Cable operators have previously viewed streaming services like Netflix as competing with their own subscription offerings. However, some may now view allowing their subscribers to access Netflix directly through their set-top boxes as an incentive to keep customers from cutting the cord altogether.
Last month, Liberty Media's ( LMCA) Virgin Media cable service in Europe said that it would add Netflix to some of its cable boxes on a trial basis.
Article printed from InvestorPlace Media, http://investorplace.com/2013/10/netflix-may-coming-cable/.
©2013 InvestorPlace Media, LLC
{ 0 comments... Views All / Send Comment! }
Post a Comment