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It's Too Late to Kill Netflix, Microsoft

Microsoft's push into original video content has been a slow process, but we're finally getting there. The software giant announced this morning that several shows will be coming to Xbox 360, Xbox One, and other Microsoft devices starting in June.

Don't expect to do a lot of binge viewing at first. Microsoft's getting out of the gate slowly in June with a reality series on street soccer. It will also stream the 13th annual Bonnaroo music and arts festival live during its mid-June weekend. A documentary detailing Atari's demise from the viewpoint of its biggest financial blunder -- overestimating the success of its E.T. video game to the point where it had to bury millions of unsold cartridges in a New Mexico landfill -- will air later this year. The more magnetic scripted shows won't be out until at least next year.

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DanielGearSolid1364d ago

Did they even imply they were trying tp "kill" Netflix?

Anon19741363d ago (Edited 1363d ago )

Maybe not "kill" Netflix, but they're certainly looking to compete with Netflix and Amazon in the video-streaming, original content arena by leveraging their Xbox console base, and obviously this blindsided Netflix which lead to their CEO stepping down from Microsoft's board of directors shortly after they started making moves to go head 2 head with the company.

Original streaming video content is taking off and MS obviously wants in but will anyone notice when Netflix is so entrenched in so many homes across North America? Are they simply too late to the party? I guess time will tell.

You guys are taking the title too literally. Of course MS isn't going to say we're going to "kill" netflix (although they did say once upon a time that they would "choke the life" out of Netscape, so I guess it could happen). However, it's naive to think that Microsoft isn't entering this space because they want to win.

JoGam1363d ago (Edited 1363d ago )

I hear what ur saying but still, we can ONLY go off as what we know to be FACTS, and not opinions or assumptions. Microsoft never gave any signs that they were trying to go head to head with Netflix. There's no proof that can be received as FACT to back that up. What Microsoft made clear was they wanted to add original video/shows content to the Xbox one. Now to be honest and fair if this new content elevates the Xbox service to be successful on Netflix level then yes I can see MS trying to go head to head with Netflix. But its no where near that at this point.

DLConspiracy1363d ago

Doesn't any company that offers movies want something like what Netflix has though? This is included in my $60 dollar XBL Gold Membership though.

Webbyy1363d ago

Lol. Oh boy, MS is not trying to kill netflix folks.. chill out. they just want to have their own programming...besides..isn' ;t netflix already dead? They barely have any good stuff anymore.

Anon19741363d ago (Edited 1363d ago )

JoGame "Microsoft never gave any signs that they were trying to go head to head with Netflix."

You mean aside from going head to head with Netflix in the field of streaming, original video content?

Seriously...just google "Netflix" and "Microsoft Originals" It's pretty much accepted media wide that this is Microsoft making a move on Netflix.

Of course this is Microsoft trying to get into Netflix's market and challenge them. Just like Apple's looking at doing, just like Amazon is doing right now, just like Google's trying to do with Chromecast.

I'm frankly amazed to see people arguing otherwise, and puzzled by it. Why wouldn't you think Microsoft is looking at going after Netflix's market? I would! There's billions to be made there and Microsoft has had their eyes firmly fixed on the living room for decades. This isn't a secret! In fact, there was speculation a year ago that MS was looking at buying Netflix outright at the time.

Anon19741363d ago (Edited 1363d ago )

Here. This is for the "Microsoft isn't taking on Netflix" deniers out there.

http://n4g.com/news/1500271...

It's called "How Microsoft is Taking on Netflix Head On."

Discuss. Personally, I think this is awesome! I'm excited to see what MS brings to the table and how the service will evolve. Netflix needs some serious competition in this space. Plus, I've always loved the Halo universe and I'm giddy as hell to see what the Halo show is going to be like, and hopefully the competition will make both services better!

Microsoft doesn't have to "admit" they're taking on Netflix because they're ACTIVELY DOING IT! Actions speak louder than words.

JoGam1363d ago (Edited 1363d ago )

Again I hear you but the name of that title was not MS words. In fact I read the article and it can be look at as a opinion. No where in the article states MS admitted to taking on Netflix head to head. It just states MS along with Netflix and other company getting into a HBO type of shows.

1363d ago
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incendy351363d ago

Nope, these articles are funny. You would think there would be enough truth out there to talk about, but I guess not.

christocolus1363d ago

@daniel

I was just about to say the same thing. A lot of companies do similar stuff and its called competition. I dont see why this article is titled that way..so does it mean its wrong for other companies to offer similar services as netflix?

dcbronco1363d ago

Darkride, there is a magazine you can checkout online named home media guide. It will explain to you how the studios have been trying to kill Netflix for years. Hulu was about killing Netflix. Their is a reason Netflix original content exist. The studios made it stronger by trying to kill it.

rainslacker1363d ago

I'm sure they're trying to compete for those media dollars. They seem like they're offering a completely different kind of service though. Something more akin to Sony's SEN store where you purchase media a-la-carte, as opposed to an overall subscription model that offers everything or a tiered structure.

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Chanogram1364d ago

Hmm.. Someone point me to the article where MS is quoted as saying they want to "kill" netflix? They are trying to create content to bolster their XBL value. No different than Starz or HBO creating original content, or Netflix themselves creating their own shows.

VforVideogames1363d ago

You are right plus I think Microsoft find out that Netflix is dyeing and its boring, and hbo its getting all the $ with original hits like game of trones

fonger081363d ago

I looked at the source of the article... and yet took the bait. Can't imagine Microsoft is aiming at Netflix for direct competition, but rather, as an alternative to paid original programming like HBO, Starz, or Showtime. The guys at Montley Fool are some of the worst investment guidence articles on the web.

Anon19741363d ago (Edited 1363d ago )

Motley Fool is one of the best, most respected, most awarded investment news sites on the web. On top of that they actively manage billions within their own investment funds and have done so for years. In my decade in the brokerage industry I never met one broker, financial planner or investment professional in general that held a negative opinion of the site. You don't get people to invest billions into funds run by your company if you don't have a good reputation. This guy's been the Consumer and Tech stock specialist for the firm for damn near 20 years now.

You honestly believe that Microsoft's video streaming of original content isn't designed to go head to head with Netflix's original streaming video content? If that's the case, why did Netflix's CEO resign from Microsoft's board of directors two weeks after Microsoft started making moves to enter the space? Personally, I think this guy's right. It is too late for Microsoft to take this particular crown from Netflix, and as I stated above, if you don't think Microsoft is going head 2 head with Netflix in original streaming content because they want to win, what on earth do you think they're doing?

You think MS entered the game console market aiming to, one day, come up 3rd place behind Nintendo or Sony? Of course MS wants to dominate this space.

fonger081363d ago (Edited 1363d ago )

Trust me, the firm I work for tested their hypothesis with many of their "tech" stock advice. We signed up to do some competitive analysis, we I think like 3k for the service, we got constant spam, following their tech advice only* we invested 25k and grew it about 3.1% year over year. A reasonable rate is about 6%. They don't guarantee anything either.

Microsoft isn't offering a paid subscription outside of their own content. That's the difference. If they were to come out and say, we will offer a $10/month (extra on top of XboxLive) to see our original programming AND a list of regular tv shows and movies, then that's a different story. I wouldn't say they wouldn't go that direction, but I think they want to see if this original programming is a hit first.

Anon19741363d ago (Edited 1363d ago )

They don't "guarantee" anything? What fund manager or any analyst based business offers a guarantee? I've been retired from the industry for a few years now, but one thing you can bank on is there's no guarantees in the business. That is, unless the industry has drastically changed these past 5-6 years and suddenly analysts are offering guarantees for their stock picks. Somehow, I'd think that'd be a bit of a game changer for the brokerage industry. :)

As for the performance of tech stocks, the past few years just looking at the Nasdaq's growth it's obvious that tech stocks have been all over the map. For example, I really doubt you'd see 12% growth (Edit, I see you edited your number down to 6%. Which is it? 6% or 12%, and over what period?) from your tech stocks in 2011 when the ETF's tracking the Nasdaq only managed 3% growth for the entire year. Of course, your timing on when you invested your 25k and when you got out is absolutely everything, no matter how good the analysts. Not that anyone in their right mind would ever invest a portfolio of stocks in only one industry.

The fact that you need a paid subscription for Xbox Live before you can view the original content isn't a huge difference. Netflix offers original content, tv shows and movies, Xbox Live offers original content, gaming and enhanced tv. Just google "Xbox originals" and "Netflix" and read the articles that pop up. It's clear to pretty much everyone that Microsoft is looking to directly compete with Netflix here. You can pretty much guarantee that if MS gains any traction from their original programming they'll follow up with shows and movies. I'd be surprised if that isn't already in the works.

fonger081363d ago

Evencore Wealth Managment, Putnam Investments, Edward Jones "did" have a 3% guarantee but they ended that program at the end of the year. Montley Fool is an ok program for people who want to dip into the "investment" pool but I could recommend about a dozen who perform better for the cost.

Anon19741363d ago (Edited 1363d ago )

A 3% guarantee in a pure equity portfolio made up of tech stocks? Sorry, I just don't believe that. If you're going to guarantee minimums you're going to do it with a mix of equity and fixed income to insulate the portfolio from equity volatility. There's just no way in hell anyone out there was guaranteeing any kind of annual return in a basket of tech stocks. That's ridiculous.

And I'm not even sure why we're discussing this. Past performance of a basket of tech stocks is no indicator of future performance...nor does it somehow invalidate the points brought up in this article.

MorePowerOfGreen1363d ago (Edited 1363d ago )

No one from MSFT has said they're trying to take on Netflix. Game consoles were already big on digital video before Netflix found video more appealing to consumers than their movies in mail method.

MSFT's services compete with services like VuDu, Hulu in a type of hybrid system called Xbox Originals. Xbox Originals is nothing like Netflix and I don't know why anyone would say that when there is no proof MSFT will offer 3rd party content with the service.

This is more a evolution of what they originally wanted to work in, with their IPTV interactive Tv vision.

Xbox Originals seems more like HBO right now. Anybody saying XBO is trying to compete with Netflix based on a few shows yet deals with mostly 3rd party movies, is being foolish.

Dynamic Computer and Kinect TV is nothing like Netflix. MSFT is not going after Netflix they're going after the industry standard of TV design. Finding a type of loophole for their IPTV efforts from years ago(You know MSFT wanted their own shows with the original IPTV push mixed in with cable content)

Nocando1363d ago

Do you actually have a point other than "omg evil MS is entering this market to dominate it"?

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explicitbaron1363d ago

Xbox trying to compete with Netflix and Hulu with original programming is a bad move. They need to put those resources into making the system better and giving it a price cut to compete with the PS4. If they do create original programming it should be exclusive content revolving around Xbox's gaming culture. Create some animated shows or live action shows having to do with their Halo and Gear of War franchises. Sony created the show the Tester that ran for 3 seasons and revolved around Sony. Microsoft should create shows that strengthen the Microsoft brand and capitalize on their strong video game culture.

ghostface91363d ago

There making a halo show and a digital halo movie. Also there thinking about making tv series from gears, forza and fable so dont know what your gripe is about

wheresmymonkey1363d ago

I'm not sure this has much to do with netflix at all. Asie from MS going thats a bloody good idea i want in on that too. I think its mostly just MS trying to give people more compelling reasons to use their platforms and maintain a gold sub.

jnemesh1363d ago

ONE good reason would be nice...

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