There is rising competition in the streaming industry where Netflix (NFLX) is the leader. The question is will the company maintain this lead and continue to be the preferred choice for streaming customers? Comcast (CMCSA) and Amazon (AMZN) are its biggest competitors. Will these companies rise up to the challenge? This depends a lot on their innovation to improve content, which will lead to an increased subscriber base. Netflix is the leader currently in content and number of subscribers. But the future looks to change.
Amazon prime service
Amazon prime service plans to increase its count of subscribers to about 10 million by end of 2012. In August 2012, it had over 22,000 titles in its streaming library. This represents a 70% growth. The company signed a deal with Epix in September. This move will add more than 3000 titles to its library. The device reach for Amazon is not bad. Subscribers stream content on kindle Fire, Blu-ray players, PS 3, iPad, TVs and Xbox 360. The subscriber base for Amazon prime service is large enough to cause concern for Netflix. Furthermore, we see its streaming library growing at a fast pace and is sufficient enough to attract customers. Netflix cannot ignore Amazon’s streaming catalog and growing subscriber base as it presents the highest competitive threat in the United States streaming industry.
Still, doubts remain whether Amazon can continuously improve its streaming content. It is unwilling to separate streaming as a standalone service. To continue reading, click here.