zlacker

What does the market cap of the company or the founders net worth have anything to do with the unit economics of operating a streaming business? Netflix, Hulu and others are all exploring charging more or introducing ads. Does that not factor into your analysis at all??

>>dcgude+(OP)
> What does the market cap of the company or the founders net worth have anything to do with the unit economics of operating a streaming business?

For being a sub-product when compared to other streaming platforms, I, the naive me, would expect that Prime wouldn’t be in such a rush to milk money from users and instead they would focus on making the best product they can given that their mother company is wealthy as fuck.

Like I said, I am naive.

>>dcgude+(OP)
Not that I even agree, but I guess the point is that someone so highly paid should be able to find solutions that don't at least feel unfair. I mean most people pay for cable and there's not even a way to not have ads and they increase prices regularly - then again most people do hate the cable companies.

>>dcgude+(OP)
It's like a Ferrari stopping in a tire shop and the owner trying to haggle $10 off the service.

>>dcgude+(OP)
It doesn’t and doesn’t need to, especially since Amazon profits tripled YoY

>>dcgude+(OP)
If the company is already huge and makes a tonne of profit, there's little/no need to double-dip on an accessory service that already makes a good case for pushing people into their main service (i.e prime video is free if you use amazon prime -> using amazon's main website/service).

It's not about the market cap specifically, it's stating that prime video doesn't need to operate at a profit in order to benefit amazon's core business.

>>worewo+W1
The reason they own a Ferrari might be because they're good at money management including negotiation.

The local "cheap" supermarket (Lidl) to me has plenty of >€70k vehicles in the carpark.

>>compre+x4
Cars are depreciating assets. Owning a Ferrari is pretty much the opposite of good money management.

>>jakequ+S3
Wait, I thought it was evil and anticompetitive to use one business unit to prop up another business unit at unsustainable profit margins.

>>thfura+J7
Handling finances well enough that you can safely afford a luxury car is an example of good money management, no?