Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Google Inc (GOOGL)’s Current Position in the Market Makes It a Prime Competitor to the Likes of Netflix, Inc. (NFLX): Brian Wieser

Google Inc (NASDAQ:GOOGL) is so big and flush with resources that its strategy against Netflix, Inc. (NASDAQ:NFLX) and other companies in the premium pay-to-watch content space is perplexing at least to this analyst.

In a discussion on Bloomberg’s Market Makers, Pivotal Research Group Senior Analyst Brian Wieser says that Google Inc (NASDAQ:GOOGL)’s current position in the market – with its nearly $60 billion in cash and the dominant role YouTube has in video streaming – makes it a prime competitor to the likes of Netflix, Inc. (NASDAQ:NFLX). However, what the company is doing leaves many questions waiting to be answered, he hints.

The reaction comes as the Internet search and advertising giant is rumored to be planning a subscription service for its YouTube business.

“It’s go big or go home and you can contrast what they are doing with what Yahoo is doing. I feel like Yahoo is taking baby steps here. Having a couple programs isn’t much. There is no scale. But if you actually committed a billion dollars, then you can have a real business and Google is one of the few companies that actually has the resources if they have the will,” Wieser says.

I Just Made 84% in 4 Days By Blindly Following This Hedge Fund I just made 84% in 4 days by blindly imitating a hedge fund’s stock pick. I will tell you how I pulled such a huge return in such a short time but let me first explain in this FREE REPORT why following hedge funds’ stock picks is one of the smartest things you can do as an investor. We launched our quarterly newsletter 2.5 years ago and not one subscriber has, since, said ‘I lost money by EXACTLY following your stock picks’. The reason is simple. You can beat index funds by creating a DREAM TEAM of hedge fund managers and investing in only their best ideas. I just made 84% in 4 days by blindly imitating one of these best ideas. CLICK HERE NOW for all the details.

To fight Netflix, Inc. (NASDAQ:NFLX) and other companies in this industry, Google Inc (NASDAQ:GOOGL) can just buy a platform, Wieser agrees. Google bought YouTube in 2006 for $1.65 billion.

“That is one approach they can take. Again, it is perplexing to me, given the position that they have had [and] the resources they have, that they have not done something,” Wieser tells Bloomberg.

However, Wieser acknowledges that Google Inc (NASDAQ:GOOGL)’s reluctance to pour money into its businesses like YouTube to compete with Netflix, Inc. (NASDAQ:NFLX) leads him to believe that the tech giant may have a reason. He says, however, that he does not pretend to know the reason why Google is taking this strategy.

Given this, Wieser says that if Google were to spend $1 billion on a business development program, he thinks they could spend that money on building a better video advertisement business to more legitimately compete with networks and cable.

Boykin Curry’s Eagle Capital Management owned 774,750 Class A Google Inc (NASDAQ:GOOGL) shares by the end of the October to December quarter. By the end of the same period, David E. Shaw’s D.E. Shaw & Co., L.P. owned 958,731 Netflix, Inc. (NASDAQ:NFLX) shares.

I just made 84% in 4 daysI Just Made 84% in 4 Days By Blindly Following This Hedge Fund

I just made 84% in 4 days by blindly imitating a hedge fund’s stock pick. I will tell you how I pulled such a huge return in such a short time but let me first explain in this FREE REPORT why following hedge funds’ stock picks is one of the smartest things you can do as an investor. We launched our quarterly newsletter 2.5 years ago and not one subscriber has, since, said ‘I lost money by EXACTLY following your stock picks’. The reason is simple. You can beat index funds by creating a DREAM TEAM of hedge fund managers and investing in only their best ideas. I just made 84% in 4 days by blindly imitating one of these best ideas. CLICK HERE NOW for all the details.

Loading...