It seems so: Netflix shares are down 5.9% in afternoon trading even though the overall market is up slightly. The chill follows the disclosure late last week that Time Warner Cable is interested in becoming a co-owner of Hulu, which is weighing purchase and investment offers from seven companies. In addition to the No. 2 cable company, firms believed to be in the mix include Yahoo, KKR, Silver Lake Management/Hollywood agency WME, Guggenheim Digital, DirecTV, and the Chernin Group (in partnership with investors Qatar Holding and Providence Equity Partners). Netflix investors are particularly concerned about Time Warner Cable because it shows that “cable operators have to get in the Netflix world in order to compete,” says Maxim Group analyst John Tinker. “It highlights that [the streaming business] is going to become more competitive.” Shares in Coinstar — the company behind the Redbox rental kiosks and a new streaming venture with Verizon — are down 1.2%.
Are Netflix Investors Worried About Time Warner Cable’s Interest In Hulu?
For all of Deadline’s headlines, follow us @Deadline on Twitter
Sign up for Newsletters
Trending Now on Deadline
UPDATE: 'Cops' Bryce Dion Killed By Friendly Fire In Omaha While Filming Response To Wendy's Robbery
More From Lieberman
- Yahoo's Alibaba Windfall Could Hit $8.3 Billion After Record IPO
- AMC Entertainment Accelerates Theater Upgrades Ahead Of 2015 Tentpoles
- Les Moonves: There's A “Strong Possibility” Showtime Will Be Available Without A Pay TV Subscription
- Discovery Plans To Run And Rebrand The Hub: Report
- Cable Industry Trade Confab Rebranded To INTX: The Internet And Television Expo
- Sony Slashes Profit Estimate As Mobile Phone Sales Fail To Connect