Will Apple, Disney or Netflix pursue an acquisition of NewCo? Last year we wrote that AT&T should sell WarnerMedia. On Monday AT&T (tkr: T) led by John Stankey agreed to spin-off its WarnerMedia asset and to combine it with John Malone's Discovery (tkr: DISCA) in a new, publicly-traded company led by Discovery CEO David Zaslav. … Continue reading AT&T Took Our Advice But It Does Not Solve The Scale Problem
As we wrote in September of last year, Netflix (tkr: NFLX), Should Acquire Video Game Publishers. Netflix teased a video game strategy on tonight's earnings call. Disney (tkr: DIS), proved the model on the feature film side with acquisitions of Pixar, Marvel and Lucasfilm. The video game space will prove no different. After all, hit … Continue reading Netflix & Video Games Can’t Happen Soon Enough
We migrated off of AT&T's (tkr: T) mobile plan over the weekend in favor of Alphabet's (tkr: GOOGL), Google Fi mobile phone service. Google Fi charges less for unlimited calls and texts: Google Fi charges $20 for unlimited calls and texts per user per month vs. $25 for AT&T; Google Fi charges less per GB … Continue reading AT&T Is Caught In A Pickle. Google Is Benefitting.
Disney recently refined its segment reporting into two major categories: "Media and Entertainment Distribution" and "Parks, Experiences and Products" detailed in this filing. We have advocated for a separation of Parks from Media, most recently in March 2020. The requisite leadership is in place to manage two separately-traded public companies post-spin. Disney's Parks, Experiences and … Continue reading Disney Getting Closer To Spinning Parks from Media?
Apple CEO in-waiting Jeff Williams is a Tim Cook clone. We argue that Apple's next Chief Executive ought to be a risk-taking, product-focused CEO that conducts him/herself with a sense of urgency to drive Product & Services growth. Another caretaker CEO would be less than optimal. Companies mentioned: Alphabet (GOOG), Amazon (AMZN), Apple (AAPL), Cerner … Continue reading Apple’s Next CEO Ought To Be An Innovator
You may have heard the term "Product Market Fit" coined by Andy Rachleff. I'm not sure I've seen a better example of "PMF" than the marriage of Walt Disney's world-class content library with a service delivery model that is 100% aligned with consumer preference. Disney content is available across its three SVOD properties: Disney+, Hulu … Continue reading Disney & Product Market Fit
COVID-19 is forcing people, companies and economies to adapt. Many companies have recalibrated their business models to better compete in this new COVID reality. We have yet to see one of America's great export industries - Hollywood - evolve to better capitalize on the current reality. Back in October 2019 we wrote that the future … Continue reading The Best CEOs Are Willing To Break With Tradition
When compared to Netflix and Disney+, Amazon Prime is the most durable revenue stream of the three. We cover Prime's attributes and where we believe leverage points exist, including Amazon's strategic investment in "COVID-proofing" its distribution and customer-facing operations. There could be an AWS-like opportunity if Amazon decides to commercialize its COVID response. Part I … Continue reading Pt. I: Amazon Prime vs. Netflix & Disney+. Pt. II: Is Amazon Sitting On AWS 2.0?