They didn’t have a choice. The cost of their licensing quadrupled in the space of 6 months. There’s a certain amount of increased costs that can be eaten, but not that much.
I don’t think netflix is going down at all. They’re still up above 23 million subscribers. They’re a long long way from being in trouble.
Amazon is delivering a superior product for less money. At least for streaming. I rarely used the DVD side of netflix anyway, because new movies are mostly crap. I think the only movie I rented in the last year was Coen’s “True Grit.” And I can stream that on Amazon prime for NOTHING.
Then again, I thought McDs was going down the wrong path with "I'm lovin' it" and salads and coffees, etc, and they seem to have done very well. We'll see.
I don't have enough faith in Netflix to buy stock on the dip. Maybe I'll regret it. Who knows?