In the long run I like Netflix over Blockbuster. Blockbuster has the video rental stores -- which is convenient for now, but in the long run yet another financial problem (selling them, laying off employees, etc.). Netflix is going fastforward into the direct internet delivery model -- rumors of boxes, Watch Now, etc. In the short term, Netflix has dropped because of an overreaction to the news of a price cut, and fears of a price war with Blockbuster. But the strategy is right -- soften the competition and keep advancing the technology. I suspect something will leak out about the settlement that will favor Netflix...
$19.5 (06/29/07)
