Netflix Doubles Canadian Users Even As Pay-Tv Providers Try To Strike A Fresh Blow


Netflix (NASDAQ: NFLX) becoming an enemy of Pay-Tv service providers was a fact long known. The fast rate of acceptance being experienced by Netflix’s streaming service has resulted in retaliation from the Pay-Tv services. Pay-Tv service providers, in danger of extinction, have tried various strategies to counter the threat from Netflix. Some companies like Virgin Media have chosen to join hands with Netflix and benefit from its increasing popularity, yet there are others who have chosen to take the charging bull head-on. In what can be termed as a head-on move to counter Netflix, Pay-Tv services have recently been striking more expansive on-demand content deals. While these service providers traditionally ran 4 to 5 shows on a rotational basis, they now are offering all episodes for an entire season, trying to gain from the phenomena of ‘binge-viewing’ which has been made popular by the Netflix service. According to Rentrak, a research company focussing on the entertainment industry, the on-demand service from Pay-Tv service providers saw a 40% rise in 2012 even as Netflix continued to see its subscriber base swell at an alarming rate.

While the environment definitely seems to have become more competitive with the latest salvo launched by the Pay-Tv service providers, there was still good news to comfort the Netflix investors. A recent report released by media technology monitor states that nearly 25% of english speaking Canadians (Anglophone Canadians) were now subscribers of the Netflix service, which is a near 100% increase from last spring. The total Netflix user base, which stood at 27 million in December 2012, currently exceeds 38 million.

Netflix stock closed the last trading session at a price of $302.04, a loss of 3.76% over the previous close. The stock has gained close to 40% in the last three months, a period which saw its user base jump 27% to 38 million users.

To see Netflix’s latest stock price movement, click here (NASDAQ: NFLX)

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Virendra Singh Chauhan Virendra Singh Chauhan   on Amigobulls :

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