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.

 
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Neo_DrKefkaId love to see people come 2gether whether your 4 or against gamergate to gather 2gether and support an anti bullying charity and I would love to see a pro and anti gamegate debate on a neutral platform that promotes discussion and solutions10/20/2014 - 8:33pm
Neo_DrKefkaWhen someone was seriously hurt by a violent altercation. They have a prospective that people who have not had this experience lack. Bullying is a serious issue10/20/2014 - 8:30pm
Papa MidnightStraw Man to the fullest, but it gets the point across.10/20/2014 - 8:26pm
Papa Midnighthttp://i.imgur.com/dw0YPon.png10/20/2014 - 8:25pm
quiknkoldby doing something, Charitable Donations is an example.10/20/2014 - 8:06pm
quiknkoldAndrew : I dont accept any worded apology unless I can look the person in the eye when they say it. For me, he'd either have to make a video so I could read his bodylanguage, or actually do something. actions speak louder than words.10/20/2014 - 8:04pm
quiknkoldwell if they are looking for social pollution, Twitter is a great breeding ground for it. Its a breeding ground for deviance.10/20/2014 - 8:03pm
Andrew Eisenquiknkold - He had three tweets worth of apology the following day.10/20/2014 - 8:00pm
quiknkoldyou know, people keep saying Biddle's comment was sarcasm, but the thing is, Sarcasm doesnt translate well in Tweets. I took his words as really hateful, and unless I see an honest apology, I'm not going to be happy with him.10/20/2014 - 7:38pm
Matthew WilsonI doubt it will change much.10/20/2014 - 7:21pm
MaskedPixelantehttp://www.bbc.com/news/technology-29689949 Google's current piracy fighting plan.10/20/2014 - 6:58pm
Andrew EisenYikes. http://boingboing.net/2014/10/20/vultures-circle-gamergate.html10/20/2014 - 6:25pm
Neo_DrKefkaDestructoid Editor in Chief stepping down after allegations surface about blacklisting will he be next? http://allmannerofnerdery.tumblr.com/post/100526443850/im-leaving-destructoid10/20/2014 - 6:05pm
james_fudgethere's some inside baseball stuff going on in this Andrew - likely some stuff we don't know10/20/2014 - 3:30pm
E. Zachary KnightGreat musical video about online trolling. https://www.youtube.com/watch?v=_nS-QeM2ne810/20/2014 - 2:46pm
Andrew EisenBut again, this whole thing is just too damn vague to form an opinion on.10/20/2014 - 2:40pm
Andrew EisenWithout the original communication, it's impossible to say if it could honestly be misconstrued as a friendly suggestion rather than an employer directive. However, it appears that subsequent emails should have cleared up any doubt.10/20/2014 - 2:40pm
Andrew EisenThose aren't the owner's words, they're Chris Dahlen's. For what it's worth, we do see an email from Gonzalez stating "you've already broken the only rule we set for you!!!!!!!"10/20/2014 - 2:38pm
Michael ChandraSo really the guy's own words strike me as "wah! How dare you disagree with me!" behaviour, which is the sort of childish attitude I am unfortunately not surprised by.10/20/2014 - 2:17pm
Michael ChandraCorrect AE, but then again the owner's own words are about "wishes", not about an order. No "we told him not to", but going against his wishes.10/20/2014 - 2:16pm
 

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