COMMENTARY | Netflix has been in a precarious position since it announced a 60 percent price hike in the summer that resulted in 800,000 subscribers bolting from the service, according to the Associated Press. For a few months anyway, it looked like the company was wandering lost in uncharted water. Of course, a recent report by Digital Trends highlights that Netflix might be getting ready to make good on one of the Internet's biggest friend requests with Facebook, which could change the course of Netflix's stock.
The Digital Trends report highlights the potential change to legislation that prevents a company from sharing a viewer's preferences. The first hurdle of that legislation cleared the House of Representatives, and now will move to the Senate. If Netflix is able to pair up with Facebook and create a video sharing system, Netflix will get exposure to even more potential customers. Netflix was once the darling of the tech world, and it could be headed there again.
As reported by Mashable, Netflix signed an agreement to stream Dreamworks movies. Plus, Netflix also signed an agreement with Disney giving the streaming service the rights to that content, as a report from Reuters indicates. The point is that Netflix is addressing one of the biggest knocks against the streaming catalog offered by the company: quality of content.
Better content and a new delivery service, especially one as huge as Facebook, could help drive Netflix back into the good graces of subscribers everywhere. While the legislation that would allow a Netflix and Facebook hook up still has a few more hurdles to clear, the stage is clearly set for what would be a pretty impressive partnership. Netflix needs a win very badly, and helping Facebook change the way viewers experience and view movies and television on the Internet would not be a bad place to start.