Should Apple buy Netflix or just crush it?

TweetFollow Us on Twitter

Should Apple buy Netflix or just crush it?


While Steve Jobs glibly passes the AppleTV device off as a "hobby", he is too smart to have missed the big picture, as broadcast, cable TV and even satellite TV seem to have peaked and are in a slow decline in both customers and revenue. Then you see Blockbuster and countless other smaller video rental places in decline, you have to ask the question, where are the customers going?  DVD disk sales can't be the answer either.  

Digital TV and High Definition TV have made inroads faster than prior TV technology. It was years before VHS penetrated the market and became very common. DVD disks have already peaked and Blu-ray has now begun its reign since it clobbered the other high def. format.  I expect the period Blu-ray is popular to be short, as streaming HD entertainment is going to be the next wave.  The high speed Internet service that is required  to make downloading HDTV programing fast enough to be practical is becoming an expected level or service these days.

Apple normally sees a business opportunity and figures out how to do it better and overcome the user interface issues that consumers hate. Take the cell phone as an example. In the past, even an "Internet ready" cell phone didn't mean the iPhone experience we have today.

About five years ago, while I was still being abused by Sprint, I purchased a cell phone that was
intended to allow me to check my email over the network.  I paid a bit extra for that service but never could get it to work.  I went to a Sprint store and no one there could get the phone to display my email either. What is wrong with this picture?  

That flip phone was a Motorola product and the convention at that time was the problem. No one at any of the cell phone companies or phone manufacturing realized the potential. Remember the Apple cell phone that Motorola put together? You might as well have super glued an iPod to the back of a cell phone for whatever integration you might have. That phone was a flop because something was missing.  The "Apple magic" that divides the user experience as being "Apple" or Microsoft in tone, disappointed users. Apple realized they would have to start from the ground up to make the "iPhone" fulfill the potential of a true "smart phone." 

The ironic issue, is that even when creatively challenged people see the "next big thing," most of them fail to fully understand why it is going to become the standard, until it is already well established. That is where the followers come in. They never really innovate, they just knock off what the leader does and hope to cash in before the technology ages.

Even Bill Gates understood the phenomenon, if not grasping the ability to truly innovate himself, when he said "the company that fails to obsolete its own products will see the  competition do it." Microsoft is proof that timely marketing and blind luck are still a way to make a killing by copying the brilliance of others.  

Apple has already proven that selling digital content on line is big business. The music industry, iPod and the iTunes store tell the story. This is the future of video as well. Then comes the question, it there enough value to Apple to warrant buying Netflix? A large customer base is of value. With a market cap of US$5.31 billion and Apple valued at $242 billion, if Apple wanted to buy Netflix, they likely could.  

I put my money on Apple crushing Netflix through brutal competition using the iTune model and that new server farm being built on the East Coast. Look for a new and better AppleTV device complete with DVR functions to make it both a download device with  storage and also an Apple user interfaced DVR. I expect all this sooner rather than later.

An Apple 3D High Definition TV or box is not out of the question. Keep in mind the new iPad format is just out of the box. How long will it be before it come out with a larger screen that will handle full HD video? The foray of Apple into advertising also tends to support my thoughts that more video digital content distribution from Apple is just around the corner....  

-- Greg Mills

Greg Mills does faux wall art (http://www.gregmills.info/GregMills.info/Home.html) and runs Cottage Industry Solar Shops (http://www.cottageindustrysolar.com/cottageindustrysolar/Home.html).

 
AAPL
$526.81
Apple Inc.
-4.89
MSFT
$39.57
Microsoft Corpora
-0.42
GOOG
$528.95
Google Inc.
-5.86

MacTech Search:
Community Search:

Software Updates via MacUpdate

TeamViewer 9.0.28116 - Establish remote...
TeamViewer gives you remote control of any computer or Mac over the Internet within seconds, or can be used for online meetings. Find out why more than 200 million users trust TeamViewer! Free for... Read more
Viber 4.1.0 - Send messages and make cal...
Viber lets you send free messages and make free calls to other Viber users, on any device and network, in any country! Viber syncs your contacts, messages and call history with your mobile device,... Read more
Apple iOS 7.1.1 - The latest version of...
The latest version of iOS can be downloaded through iTunes. Apple iOS 7 brings an all-new design and all-new features. Simplicity Simplicity is often equated with minimalism. Yet true simplicity is... Read more
1Password 4.3 - Powerful password manage...
1Password is a password manager that uniquely brings you both security and convenience. It is the only program that provides anti-phishing protection and goes beyond password management by adding Web... Read more
Lens Blur 1.3.0 - True out-of-focus boke...
Let Lens Blur transform your existing photo into true SLR-quality out-of-focus bokeh effect! Everyone needs a gorgeous personalized background for a social profile, blog, Web/UI design, presentation... Read more
VMware Fusion 6.0.3 - Run Windows apps a...
VMware Fusion allows you to create a Virtual Machine on your Mac and run Windows (including Windows 8.1) and Windows software on your Mac. Run your favorite Windows applications alongside Mac... Read more
Tweetbot 1.5.1 - Popular iOS twitter cli...
Tweetbot is a full-featured OS X Twitter client with a lot of personality. Whether it's the meticulously-crafted interface, sounds and animation, or features like multiple timelines and column views... Read more
Mac DVDRipper Pro 4.1.7 - Copy, backup,...
Mac DVDRipper Pro is the DVD backup solution that lets you protect your DVDs from scratches, save your batteries by reading your movies from your hard disk, manage your collection with just a few... Read more
PDFpenPro 6.2 - Advanced PDF toolkit for...
PDFpenPro allows users to edit PDF's easily. Add text, images and signatures. Fill out PDF forms. Merge or split PDF documents. Reorder and delete pages. Even correct text and edit graphics! Create... Read more
PDFpen 6.2 - Edit and annotate PDFs with...
PDFpen allows users to easily edit PDF's. Add text, images and signatures. Fill out PDF forms. Merge or split PDF documents. Reorder and delete pages. Even correct text and edit graphics! Features... Read more

Latest Forum Discussions

See All

Gusto Email App Review
Gusto Email App Review By Jennifer Allen on April 23rd, 2014 Our Rating: :: POWERFUL SEARCHINGiPhone App - Designed for the iPhone, compatible with the iPad Focusing on making it easy to browse files and photos attached to your... | Read more »
New Update Adds Two More Cars to Fishlab...
New Update Adds Two More Cars to Fishlabs’ Sports Car Challenge 2 Posted by Rob Rich on April 23rd, 2014 [ permalink ] Universal App - Designed for iPhone and iPad | Read more »
What’s Up with Readdle? – The Verge Exam...
What’s Up with Readdle? | Read more »
Knight Saves Queen Review
Knight Saves Queen Review By Jennifer Allen on April 23rd, 2014 Our Rating: :: PUZZLING MASH UPUniversal App - Designed for iPhone and iPad Mixing up puzzle elements with Chess-based sensibilities is a fun move for this simplistic... | Read more »
Scrap Squad Review
Scrap Squad Review By Jennifer Allen on April 23rd, 2014 Our Rating: :: SIMPLE TRASH COLLECTIONUniversal App - Designed for iPhone and iPad It turns out that dividing up trash can be quite fun in a chaotic kind of way.   | Read more »
Micronytes Director’s Cut Review
Micronytes Director’s Cut Review By Cata Modorcea on April 23rd, 2014 Our Rating: :: DECENTUniversal App - Designed for iPhone and iPad Micronytes isn’t for everyone, but for people who’ve seen the screenshots and haven’t lost... | Read more »
148Apps is Looking for News and Review W...
Looks like it’s that time again. We’ve finished draining the nutritious goo from our victi-I mean we’re looking for more writers! So if you love you some iPods, iPads, and iPhones, and have access to up-to-date iOS hardware (and have a knack for... | Read more »
Wonder Golf Review
Wonder Golf Review By Lee Hamlet on April 23rd, 2014 Our Rating: :: MAD AS A HATTERUniversal App - Designed for iPhone and iPad Help Alice explore a mini-golf version of Wonderland in the quirky Wonder Golf.   | Read more »
Zeebox is Now Beamly TV – Still Offers t...
Zeebox is Now Beamly TV – Still Offers the Same Social Networking TV Fun, Plus a New Look Posted by Rob Rich on April 22nd, 2014 [ permalink ] | Read more »
Bandai Namco Unveils Upcoming Slate of M...
At their recent Global Gamers’ Day event, Bandai Namco was largely focused on their console and PC offerings for the upcoming year. However mobile still had a small presence, with some upcoming titles revealed by the company – though few were in a... | Read more »

Price Scanner via MacPrices.net

iPad Sales “Lull” A Reality Correction Of Unm...
I have lots of time for Jean-Louis Gassée, the former Apple Computer executive (1981 to 1990) who succeeded Steve Jobs as head of Macintosh development when the latter was dismissed in 1985. Mr.... Read more
Apple Makes OS X Betas Available To All – Wit...
Apple’s OS X Beta Seed Program, which lets you install the latest pre-release builds, try it out, and submit your feedback, is now open to anyone who wants to sign on rather than to developers and... Read more
Apple Releases iOS 7.1.1 Update
The latest iOS 7.1.1 update contains improvements, bug fixes and security updates, including: • Further improvements to Touch ID fingerprint recognition • Fixes a bug that could impact keyboard... Read more
Logitech Announces Thinner, Lighter, More Fle...
Logitech has announced an update to its Ultrathin for iPad Air, iPad mini and iPad mini with Retina display, improving the flexibility and design of its award-winning predecessor with an even thinner... Read more
Logitech Introduces Hinge, Big Bang and Turna...
Logitech has announced expansion of its tablet product line with three new cases – the Logitech Hinge, the Logitech Big Bang and the Logitech Turnaround – each for the iPad Air, iPad mini and iPad... Read more
WaterField’s Rough Rider Leather Messenger Ba...
WaterField Designs have announced the new 15-inch size of their popular Rough Rider leather messenger bag, a vintage-looking bag that combines Old West charm and ruggedness with distinctly modern... Read more
New Mac Pro on sale, save $100 on the 4-Core...
J&R has the new 4-Core Mac Pro in stock today and on sale for $2899 including free shipping plus NY sales tax only. Their price is $100 off MSRP, and it’s the lowest price available for this... Read more
Apple refurbished iMacs available for up to $...
The Apple Store has Apple Certified Refurbished 2013 iMacs available for up to $300 off the cost of new models. Apple’s one-year warranty is standard, and shipping is free. - 27″ 3.4GHz iMac – $1699... Read more
Updated iPad Price Trackers
We’ve updated our iPad Price Tracker and our iPad mini Price Tracker with the latest information on prices and availability from Apple and other resellers. Using a mobile device? We’ve also updated... Read more
Everything You Wanted To Know And Probably Mo...
Macworld UK’s Lou Hattersley takes a look inside Apple’s A7 System On Chip (SoC) , noting that its processor module is much more powerful than other smartphone chipsets. He notes that the A7 was a... Read more

Jobs Board

*Apple* Solutions Consultant (ASC) - Apple (...
**Job Summary** The ASC is an Apple employee who serves as an Apple brand ambassador and influencer in a Reseller's store. The ASC's role is to grow Apple Read more
Position Opening at *Apple* - Apple (United...
…customers purchase our products, you're the one who helps them get more out of their new Apple technology. Your day in the Apple Store is filled with a range of Read more
*Apple* Solutions Consultant (ASC) - Apple (...
**Job Summary** The ASC is an Apple employee who serves as an Apple brand ambassador and influencer in a Reseller's store. The ASC's role is to grow Apple Read more
*Apple* Inc. Research Data Specialist - Appl...
…of Worldwide Market Research & Intelligence. The team is responsible for conducting Apple branded consumer market research. It is also responsible for analyzing data Read more
*Apple* Automotive Parts Department position...
Apple Automotive is one of the fastest growing dealer…and it shows. Consider making the switch to the Apple Automotive Group today! At Apple Automotive, we Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.