Netflix, Streaming Video On Demand Will Change TV Forever
- Netflix is well positioned as the streaming video on demand model works extremely well in the internet of things.
- However, competition, and the improving scale of competitors may challenge Netflix's ability to raise pricing. As a result, the industry will consolidate around a few applications that can replicate MCVPs.
- Standard multichannel video providers like Comcast, DirecTV and Verizon may focus more on content production and take on a role in which they distribute packages of SVOD applications.
- Given the high rate of penetration of SVOD, and the superior functionality, the business model should change quite considerably over the next five years.