2024-07-26 07:30:00 ET
Summary
- Amazon’s continued expansion into streaming puts it in the same category as Apple and sets up a number of misleading comparisons to category leader Netflix.
- Trying to compare and contrast success between a company whose core business is streaming and a company whose core business is retail/product-driven is never going to be an apples-to-apples conversation.
- Amazon streaming positioning is largely a vanity play that helps supplement its main revenue stream, but it has purposefully kept both areas as clean and simple to use as possible.
- Amazon’s newest feature is a revamp to its streaming interface and shows users content only from the streaming services they subscribe to – which is something viewers overall have been requesting.
- The company has gone heavy into TV-content in recent years andit is smart to utilize the same simplistic approach to the medium as it has toits e-tail vertical.
When analysts talk about the various FAANG (i.e Amazon, Apple, Netflix, etc) stocks they tend to focus on things that aren’t working with those companies.
It makes sense – negative stories get clicks. That said, one of the more common areas those stories tend to target is streaming. With all the chaos in the space the last few years and Netflix’s (NASDAQ: NFLX ) ever-increasing turnaround from its pre-ad tier days, it is an easy aspect to attack....
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For further details see:
How Amazon's Newest Feature Stays True To One Of The Company's Key Objectives