Netflix courts cable, but Time Warner Cable pushes back

Netflix (Nasdaq: NFLX) sees a "complete, natural partnership" with the broadband side of cable, CEO Reed Hastings said during the Q&A portion of the over-the-top service provider's recent earnings call. "With a video side, we're a channel, we're sort of tolerated, we're not a big threat but it's hard to see why it makes sense for them to help us grow," he added.

Both views may be a bit generous if you listen to Time Warner Cable (NYSE: TWC-WI) Chairman-CEO Glenn Britt's analysis during his own earnings call Q&A, who was asked specifically about Netflix and its potential impact on TWC.

"It's dangerous to be too specific about a given company," he said, before noting that Netflix "started with a very clever model built on the first-sale doctrine" and has combined that with a "clever interface on the Web. Overall, though, he said he would "question the ultimate value-add of what they're doing."

Britt was a little closer to Hastings' way of thinking when it came to broadband since OTT "uses our infrastructure so it's not a horrible thing for us at the end of the day."

For more:
- StreetInsider has this story

Related articles:
Netflix charts broadband ISPs and finds cable's a winner
Netflix fends off cable detractors as CFO McCarthy announces retirement
Cable threats: Netflix signs streaming deal with FilmDistrict as YouTube adds features to Leanback


How To Lower the Cost of Ownership of Your Cable Access Network

This white paper presents a cost analysis of a virtualized cable modem termination system (CMTS) deployed in a distributed access architecture (DAA). Learn how to eliminate traditional CMTS constraints, efficiently enhance your network performance and more.

Suggested Articles

The Apple TV remote is an often reviled peripheral device. Universal Electronics has taken it upon itself to create a different option.

Charter said it’s building an IP video aggregation platform complete with new hardware.

John Malone, Liberty Media chairman and cable industry titan, sees a future full of growth for streaming platforms like Amazon, Roku and Apple.