Just watched an interesting segment on CNBC on the above title.
Spoke about Amazon's recent foray into original programming with their new political sitcom 'Alpha House' now available through Amazon Instant Video. The program can be streamed online for no additional charge by Amazon's Prime customers... Those who have paid a US$79 annual fee for priority shipping and some other benefits. So its essentially a value add service and subscribers also get access to a suite of other content available to stream. There are 24 original shows currently in development. A second sitcom goes to air within the week.
The 2 brokers interviewed were unanimously supportive of the move by Amazon.
What could this mean for QFX? - more competition in the US market will mean NFLX will need to work hard and continue to invest in the domestic market to protect existing revenues. This could keep them out of Australia for longer and allow QFX to become entrenched in the Australian market. - Amazon Instant Video is not available in Australia (other than VPN). So they'll be looking for ways to monetise their new content or lose it all to piracy. As a fellow e-business, QFX would be able to partner with Amazon to offer their content in Australia, either purchased by QFX for subscription service, profit share PPV or partnered through the Prime membership and hosted by QFX. - Amazon could be looking to invest in streaming providers as a way to distribute their content and leverage their existing customer base.
Just a couple of ideas of mine... But nothing too far-fetched.
More on Amazon's original content: http://au.news.yahoo.com/thewest/entertainment/a/-/entertainment/19869677/amazon-enters-original-tv-fray-with-alpha-house/
QFX Price at posting:
1.6¢ Sentiment: Buy Disclosure: Held
