Amazon Prime Isn't a Huge Threat to Netflix
Amazon.com may have the cash to compete in streaming, but it's too easy to brush aside Prime's programming choices, Fool contributor Tim Beyers says in the following video.
Amazon would naturally disagree. The e-tailer closed a strong third quarter noting that it added "millions" of Prime members but without offering viewing statistics among that group. Tim says he largely ignores Amazon's streaming product since Netflix offers a cheap, convenient, and attractive streaming alternative.
He isn't alone. Amazon and Hulu serve far fewer subscribers than does Netflix, whose U.S. membership now dwarfs that of even HBO. And those aren't just idle accounts. According to a CNBC interview with BTIG analyst Richard Greenfield, Netflix subscribers tend to watch 93 minutes of programming per day. That's an astounding level of engagement that rivals the major broadcast networks.
Is Amazon's pursuit of Netflix via Prime programming a waste of capital? Please watch the video to get Tim's full take and then leave a comment to let us know what you think.
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The article Amazon Prime Isn't a Huge Threat to Netflix originally appeared on Fool.com.Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He owned shares of Netflix at the time of publication. Check out Tim's web home and portfolio holdings or connect with him on Google+, Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.The Motley Fool recommends and owns shares of Amazon.com and Netflix. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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