Netflix, Google, Apple, and the Amazon Kindle 4
Netflix lost Showtime and Starz, and its stock price has plummeted along with their reputation. Even after Reed Hastings sent out his apologetic e-mail, customers have been steadily leaving and now more than ever have reason to change service.
Amazon is expanding its content. Hopefully their new Android Kindle isn’t as terrible as it’s expected to be. If they are at least able to incorporate streaming (from Amazon Prime) to their device, I think Amazon’s got a winner.
Amazon doesn’t currently charge for 3g service, claiming its fees are incorporated into the products you buy (e-books). However, with the coming Android Kindle, I imagine that there will be a service charge for the 3G, otherwise this is ridiculously abusable (unlimited streaming, no data cap?). Amazon currently piggybacks off of Sprint Nextel 3G.
Reports are touting the possibility of the new Kindle to “beat the iPad.” However, the real fight here is over content (books, media, the “cloud”) and not hardware. Regardless of how many units they can put out relative to the iPad, customers will flock to subscribe to Amazon Prime as many of them already have. In the end it’s still about free advertising, it runs the internet.
With AAPL, GOOG, NFLX, and AMZN at play here, we’re just going to have to wait to see what happens.
Finance: There is so much interplay going on, but I’d dump NFLX.