Netflix on Apple TV is a Great Move for Both Companies

Yahoo Contributor Network

COMMENTARY | The new Apple TV could be something of a game changer for the video streaming industry. While Netflix is available on a ton of devices already, as AllThingsD reports, users will be able to sign up for Netflix service and pay with their iTunes account. The move makes a lot of sense for both companies, and could help the streaming industry.

If Netflix is able to endear itself to Apple TV users, the move could mean more subscribers. For Apple, Netflix users looking to add new release streaming to their options could consider the Apple TV unit, which could lead to more users. The ability to get some new movies, even if they cost additional cash, along with a Netflix subscription could be the idea that gets people to pickup an Apple TV box.

A report from Mashable highlights the chance for Netflix to change business models, should Netflix continue to develop third-party relationships with its video streaming service. Those third-party relationships are the cable companies that Netflix is competing against in the first place.

Bloomberg also mentions a key reason why Netflix would want to switch to a cable TV based add-on or extra. The big reason is a potential transition away from unlimited data from traditional Internet service providers. Should ISPs decide to go the way of tiered data plans based on usage, streaming video services, like Netflix, would definitely take a hit.

Netflix is trying to stay one step ahead of the curve, and Apple is giving users a reason to use Apple TV for something other than viewing iTunes content, which is a big step for the company. Whether or not Netflix is enough to get more people to give the $99 Apple TV box a try remains to be seen, but the move shows that both technology companies are open to trying different methods to attract new customers.

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