Excellent discussion here. There's a reason a journo is a journo and not an investor. it's easy to get caught up in detail - especially when it makes a good story. As you guys have well discussed, what the journo is not asking is 'what is SKT's competitive advantage?'. Whilst rugby is extremely important to SKT, it's main value comes from it's bundle synergies - these not only go beyond rugby, they even go beyond sport.
SKT's advantage is in being able to connect a large number of suppliers to a large number of eye-balls. NZ Rugby going direct does not magically make this advantage disappear. I suggest that as more suppliers push back against Netflix - the scramble for eye-balls will gather pace. Netflix will also have to increase its prices (to retaliate against the incumbent content creators), so Netflix will be scrambling to hold onto its eye-balls.
Well, guess what, SKT already has the eye-balls. That's what will be in short supply - not content.
That said, I am less clear on the changed threat to RugbyPass. Do you have any thoughts on this @mistaTea?
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)