Netflix CEO: We Fear HBO Go

December 8, 2011 -

Netflix CEO Reed Hastings says that he sees an "arms race" in the streaming entertainment sector that his company currently dominates, and the biggest competition they face is Time Warner's HBO Go.

"The competitor we fear most is HBO Go,” Hastings said this week at the UBS media conference in New York. "HBO is becoming more Netflix-like and we’re becoming more HBO-like. The two of us will compete for a very long time."

While Hastings may fear HBO GO, he doesn't seem to be too scared of services from Verizon and amazon.com, who he says will have to spend $1 - 2 billion a year on content licensing deals to be any kind of threat. He also adds that services like these will first need to get on various devices like Internet-ready TV's Xbox 360, PS3, Roku, Wii, 3DS, and more.

Half of home-video viewing will come through the Internet as soon as 2016, according to Hastings.

“The industry is very motivated around this concept of smart TVs,” Hastings said.

But Netflix has bigger problems than HBO GO in the short-term; after announcing pricing changes and talking about making drastic changes to its disc-based service earlier this year, customers decided to bail. The company lost 800,000 subscribers in the US during the third quarter. Hastings would not comment on fourth-quarter subscriber numbers, but predicted gains in 2012.

"We are very optimistic that we can put up very substantial growth next year," Hastings said.

On a side note, perhaps Netflix shouldn't worry too much about HBO GO in the short term - many of Time Warner Cable's own customers don't have access to it yet... but they do have access to Netflix.

Source: Bloomberg


Comments

Re: Netflix CEO: We Fear HBO Go

Reed Hastings is what Netflix needs to fear. His new policies have destroyed Netflix consumer base trying to get an extra buck and please investors which has caused their stock plummet.

Re: Netflix CEO: We Fear HBO Go

Agreed with the rest of you. There are maybe two shows I want to watch on HBO Go. There are literally thousands of things I want to watch on Netflix.

 

there is no comparison.

Re: Netflix CEO: We Fear HBO Go

Sounds more like a bluff to me. Or cowardice. Like a heavyweight calling out a lightweight. HuluPlus is Netflix's real problem right now, as far as streaming goes.

Re: Netflix CEO: We Fear HBO Go

I dunno, last time I looked at Hulu Plus, it took me 40 minutes of browsing to find a single movie I had even heard of before.  Their TV selection was better, but the movies seemed to be just whatever they could get without having to pay much licensing (old/indie/flops/whatever).

Re: Netflix CEO: We Fear HBO Go

Still, I doubt HBO's going to pose a threat. I think Netflix is just trying to look tough.

 
Forgot your password?
Username :
Password :

Poll

Have you visited a video game arcade in the last year?:

Shout box

You're not permitted to post shouts.
Andrew EisenYeah, Dave and Busters back in 2011 was the last time for me.08/20/2014 - 4:16pm
ZenWell, I tried lol. We just got a Dave and Busters on the beach but haven't been there yet...may go this weekend.08/20/2014 - 3:52pm
Andrew EisenIt's called The Bar-Arcade? Missed opportunity. I would have gone with Barcade.08/20/2014 - 3:25pm
SleakerThe Bar-Arcade however did have a lot of good pinball machines, they were however always taken as the place was packed..08/20/2014 - 1:17pm
Sleakerso I've been to an Arcade-Bar, not that great of a place has some okay machines, but generally over-packed. And then all the kid-friendly ones have is ticket-games nothing actually good unfortunately :(08/20/2014 - 1:14pm
Andrew EisenIf it has an area dedicated to arcade machines, I'd say it counts. Arcade machine in your house though, nope.08/20/2014 - 12:16pm
ZenDoes it count if you have actual arcade machines in your house?08/20/2014 - 12:01pm
E. Zachary KnightWith the current poll, I guess it all depends on how one defines "arcade". If Chuck E Cheese or similar multipurpose businesses count, then that is a yes for me.08/20/2014 - 11:59am
ZenLet the ax fall Sleaker...lessons MUST be learned...08/20/2014 - 11:44am
Andrew EisenNote to Shout boxers: if it's not a current GP story or something currently being discussed in the Shout box, please provide a link to what you're referring to or at least some context so we know what you're talking about and can discuss it with you.08/20/2014 - 11:44am
Sleaker*prepares fluffy kitten for execution as no link has been forthcoming*08/20/2014 - 11:14am
ZenMasked, guessing you are talking about the Wii game which was later ported to 360/PS3. I never played it..but I did grab the sweet gold Classic Controller from it to finish my Gold Wii controller set lol.08/20/2014 - 11:06am
Andrew EisenOnce again, MaskedPixelante, I have no idea what the hell you're talking about. Are you talking about the Wii remake in 2010? The PS3/360 enhanced port of the remake in 2011? Something new? Please, for the love of fluffy kittens, provide a damn link.08/20/2014 - 9:57am
MaskedPixelanteSo, if I finish this game Activision claims is the GoldenEye remake, but looks suspiciously like a rejected CoD game, do I get the REAL GoldenEye remake?08/20/2014 - 8:37am
Papa MidnightWii U Games finding Solidarity with PC Gamers :(08/19/2014 - 6:09pm
Zenbuy all of the bad DLC before they even showed the main content everyone was waiting for. I paid for it, I wanted it, and I got tossed aside.08/19/2014 - 4:10pm
ZenIanC: Yep, both Call of Duty games did the same thing holding back all DLC and then releasing the day one map 2 YEARS later out of the blue. Why play what they won't support. Warner Bros canceled their DLC after promising it because Wii U owners didn't08/19/2014 - 4:09pm
Andrew EisenShe's the developer of Depression Quest. It's an interesting game (although I wouldn't call it fun) and you can check it out for free at depressionquest.com.08/19/2014 - 2:48pm
Sleakerwhat's all this Zoe quinn stuff all over and should I even bother looking it up?08/19/2014 - 2:37pm
IanCExactly Zen. The third one had random delays to the DLC and they just came out seemingly at random with no warning, and the 4th they didn't even bother.08/19/2014 - 2:31pm
 

Be Heard - Contact Your Politician