Here's a hint: Walt Disney has been named in stories as a possible suitor for both companies.
On Monday, Netflix’s stock -- no surprise, here -- was up sharply around 4%. On Tuesday, things weren’t so clear: Disney’s stock was up just 0.11%; Twitter, up 2%; and Netflix, down 0.3%.
From Disney’s point of view, it is all about expected higher streaming of TV/video by consumers. For many, Netflix would be for Disney what possibly HBO is for Time Warner. The later has been a major revenue generator. So who can fault Disney?
That said, Twitter has also been moving more into more streaming. Plus, Twitter shows promise for traditional TV networks and media companies when it comes to TV/movie/digital content promotion.
Still, Twitter is increasingly only part of the social media picture -- especially with the likes of Instagram and SnapChat making gains.
Conversely, there is Netflix, which leads many when it comes to big premium streaming of TV/film content. But financials are right there to see: Consumers pay on a monthly basis -- soon to be $10 a month for all Netflix subscribers.
Now, think about ESPN and streaming. Disney has already made an $1 billion investment in streaming tech company BAMTech, talking up a ESPN connection. But that may be only the tip of the iceberg.
Think about a possible move from Disney, a possibility of Netflix as part of the family.
Sure, Netflix has long dismissed the idea of having an advertising-component. But what about when tied with sports TV programming -- which typically pulls in the highest viewing of any TV programming genre?
Couldn’t Disney come up with something to merge ESPN content with a big streaming video platform?
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