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Kam

I have had a more fulfilling customer experience with Netflix, than with AT&T, Microsoft, or Amazon (Specifically Amazon VOD). I'd say Netflix shouldn't mess with a good thing, but everyone has a price.

Will Dearborn

"It would be a great combination (Netflix on a Kindle?)"

LOL.

Okay but seriously, I may be wary, but I wouldn't be upset if this happened. I love both companies very much so I don't think it'll get *worse* under Amazon's control.

Scooby

This is NOT going to happen, as Amazon would have to start charging sales tax pretty much everywhere. I just don't see it happening.

Seth

I get a feeling this might be partially accurate. Bezos and Hastings are cut from very similar cloth. I could see Amazon being a very good partner with little or no clash via corporate cultures.

That being said... I'm not sure what's in it for Netflix or Amazon. I wish I could hear what they're dreaming up.

There are a lot of mergers by folks like NBCUni and Comcast, but these are business people that like "merging for the sake of merging" and not much else. Think about the recent spin-offs of Skype from eBay and AOL from TimeWarner. Most of these deals are ill-thought. It's this kind of corporate stupidity that Hastings has avoided.

I dunno. The sum of Amazon and Netflix would definitely be greater than it parts. Hmmm....

chuck

"Who do you think should buy Netflix?"

NOBODY. leave em the hell alone!

Dan

I like Netflix and I like Amazon. I like them better as competitors than were they to join forces. I hope Netflix is never bought out by or merged into a bigger company. I have serious doubts that very many large companies would have the vision to make Netflix work as well as it does.

BP

Repeat after me:

NOBODY SHOULD BUY NETFLIX.
NOBODY SHOULD BUY NETFLIX.
NOBODY SHOULD BUY NETFLIX.

Netflix on a Kindle WOULD NOT WORK. It is technically impossible.

Furthermore, with Amazon Orwelling "1984" right off the Kindle, I REALLY don't want them having any interaction with my Netflix account.

Quill

Netflix shares trade for a bit less than $55, and there are nearly 55 million shares. A 51 percent stake would cost about $1.5 billion.

Current annual profit is around $100 million. That takes 30 years to break even ...

I love Netflix, but it's probably too overpriced for any company to take over.

Mr Nethead

While it's technically impossible to have Netflix on a Kindle right now, that doesn't necessarily mean it won't be possible in the future. But Amazon seems pretty content to leave it an e-reader, so maybe they wouldn't mess around with it.

Anyway, I love Amazon and Netflix. I would prefer that nobody buy Netflix, but if someone had to, I would prefer it be Amazon.

Dacker

Possibly any major cable company, for their fledgling video-over-IP technology and it's connectivity to Blu-ray players, XB360, PS3, and probable future Wii.

For the sake of the rank-and-file Netflix employees, I'd hope for someone who treats their employees with more respect.

Ripvanryan

Better Amazon than Comcast. Comcast's customer service makes me want to cut myself.

c

no one should buy netflix.

i like amazon..i like netflix.. but they're both doing just fine on their own.

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Seth

I agree with Quill that the stock price is way too high for a merger.

And yet I still think there is some truth to this rumor. Hmmm....

Eric

Netflix should buy Redbox (Coinstar). I'd love to be able to drop off my movies and be able to instantly check one out.

There are a bunch of kiosks near me, so chances are one of them would have something I'd want especially if other netflix users were dropping their movies off nearby. I wouldn't mind driving to a specific kiosk if a harder to find title were dropped off there earlier and I could reserve it.

If nothing were available on my queue locally, I'd be willing to wait until it were mailed to my home. I could get a movie, watch it and drop it off at a kiosk on Monday and probably have the next one on my queue delivered by mail by Wednesday. That's assuming nothing were available locally.

Just think of the postage that netflix would save if I could get a movie/drop off a movie at a kiosk. Combine that with "traditional netflix" service and instant streaming and I'd really be ready to dump satellite. I'd be willing to pay a bit more for netflix if I had this flexibility.

Based on the statistics I've seen here, it seems like 90% of DVD rentals are the same 100 titles. If each kiosk had 80 of 100 most in-demand DVDs at any given time and I'm looking for 3 specific DVDs (among those 100), there is a 51% chance that all 3 will be there and a 99% chance that at least 1 would be there.

isac

Don't sell to anyone. What I love about netflix is the independance that come by not being in bed with a major corporate conglomerate. By selling to the likes of Amazon (to a lesser extent) or to AT&T (to a far worse extent) it is only a matter of time before the new parent company starts mucking about with the movie selections, preferntial treatment towards partner stuidios and such. Please Please Please keep netflix independent.

Thomas

@ Isac:

Curious, isn't Netflix "major corporate conglomerate". Isn't it a publicly traded company? That seems pretty far from independent don't ya think?

Smy

The Kindle is a DRM nightmare based consumer nightmare. No thanks and hands off Netflix!

Why does *anyone* have to buy Netflix? It is successful, has a loyal consumer base, and most importantly it is pulling a profit while expanding. It may or may not be over-valued in the market, that's really hard to say. They have contracts and licensing to renew, but they also have great room for expansion with streaming.

I think there is far too much consolidation between corporations and not enough competiton. This really needs to be curbed.

Steve

The earlier poster is right - as Netflix has a corporate presence in practically every state, Amazon would have to start charging sales tax - putting them at a major competitive disadvantage to other online retailers.

Interestingly, Amazon owns IMDB.com, a Web-site that would dovetail with nicely Netflix. Netflix's stock has been on a tear as of late (up over 6% in just one day) - I wonder if the rumors are being built into the rise in their stock price? Also, to take over Netflix, Amazon would have to pay probably a 25 to 30% premium over Netflix's current 3.11B capitalization, making this an expensive proposition.

Seth

"...as Netflix has a corporate presence in practically every state, Amazon would have to start charging sales tax..."

Nah.

Amazon gets around this in most states by having "entity isolation." There's an article in the NY Times about it today. Netflix would continue to charge tax, but it wouldn't effect Amazon.

Interestingly though, Amazon has been far more aggressive in dodging the tax man than Netflix.

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YYahooeys

Amazon buying netflix would be a nightmare. I purchased a download of Season 1 of Battlestar Galactica (reimagined) several months ago. It was supposed to be HD and the file sizes were over 1 gig per episode, but the quality was horrific. The aspect ratio was wrong and the picture quality was not even up to SD standards. I tried to use a different media player, but because of Amazon's stupid DRM, I could only use their crappy Amazon Unboxed player. Netflix's streaming product, by comparison is wonderful. There are a few issues, to be sure, but comparatively, it's no contest...

Edward R Murrow

I'm guessing that soon, most content will be streamed and not many DVD's will be mailed to customers.

Content creators will figure out it's in their best financial interest to do the streaming themselves and keep all the money for their shareholders.

Given this likelihood, why would Amazon spend so much to buy Netflix?

Justin T. Ringler

Amazon shouldn't purchase Netflix. It will only divert resources away from Amazon, and it won't help Netflix any. Netflix is strong because they are lean. If you merge the two companies, you have a lot of extra layers that bogs down the decision process.

I posted a comment on here about 5 years ago wondering what Blockbuster was doing getting into online dvd rentals... The company is currently losing money. It's sad really. Everyone always debates Netflix vs Blockbuster vs Redbox but they're just different channels to rent movies. If you look at the pizza industry each of the main companies has a niche, Pizza Hut, (restaurant), Little Caesars, (takeout), and Domino's, (delivery) I wish Blockbuster would just focus on their Brick and Mortar rentals... They have lost so much time, money and energy pursuing these other avenues... Why not just focus on profit and continue to expand globally?

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ClubPenguinCheats

Seriously, I may be wary, but I wouldn't be upset if this happened. I love both companies very much so I don't think it'll get *worse* under Amazon's control.

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I agree with Quill that the stock price is way too high for a merger.

And yet I still think there is some truth to this rumor.
I'm guessing that soon, most content will be streamed and not many DVD's will be mailed to customers.

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It would be a great combination (Netflix on a Kindle?), but I'm wondering who else should buy Netflix? AT&T to go after Comcast? Microsoft for Zune & Xbox? Who do you think should buy Netflix?

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