Report: Verizon, Netflix in Acquisition Talks

December 12, 2011 -

Here's a juicy rumor for you: Netflix is reportedly in talks with Verizon to sell its streaming entertainment service to the top phone and broadband provider. Verizon may be preparing to acquire Netflix as a fast way to build its own streaming video service. Verizon wants to buy Netflix because it is hoping to launch its own streaming video service as early as next year, according to anonymous sources close to the deal. 

The report from VentureBeat is based on a story from subscription-based financial reporting site dealReporter. That site claims that Verizon will be teaming with Netflix rather than competing with it. Previous rumors had pegged Redbox as an acquisition target for Verizon.

After changing its subscription fees for both streaming and disc-by-mail subscriptions Netflix has lost the good will of investors. In the last reported financial quarter the company lost 600,000 subscribers due to those changes. The cost of licensing new content coupled with a loss in revenue is not ideal for Netflix. Verizon, which has mobile and broadband to fill its coffers has plenty of cash to throw around if it needs to.

Source: VentureBeat

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Comments

Re: Report: Verizon, Netflix in Acquisition Talks

Ah, digging their own grave.  If netflix is neutered with a verizon style payment system, the only real winners will be the torrent sites.

Customers HATE the 'per movie' pricing.. it is purely a creation of executives enjoying the power struggles that go along with it.

Re: Report: Verizon, Netflix in Acquisition Talks

Gee dose that mean Netflix is going to split into 2 again so it can double dip?


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Re: Report: Verizon, Netflix in Acquisition Talks

Re: Report: Verizon, Netflix in Acquisition Talks

If this happens, I wonder how many months they'll let it go before fucking everybody with per-movie pricing rather than an unlimited monthly subscription.  What with them being goddamn Verizon and all...

Re: Report: Verizon, Netflix in Acquisition Talks

Nooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo!

 
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