One analyst believes Microsoft may be in a good position to buy Netflix after the tech giant teamed up with the streaming service to offer its new subscription model with ads.
A few days ago, we learned that Netflix was collaborating with Microsoft for its next ad-supported show. The streaming service indicated that Microsoft will become ” Global Advertising and Technology Sales Partner When launching this cheaper option.
Netflix co-CEO Ted Sarandos confirmed a few weeks ago that Netflix will soon launch a new format with ads, and we now know Microsoft will be responsible for the ads. The arrival of this new, cheaper formula with ads should allow Netflix to convince more users to sign up for its platform, but Such a closeness with Microsoft could also mask larger ambitions.
Read also – Netflix: Subscription with ads will arrive by the end of 2022
Netflix will approach Microsoft for acquisition
One analyst believes that Netflix won’t randomly choose Microsoft for its ads, since The American company will try to approach the giant with the aim of acquisition. Indeed, Laura Martin, chief analyst at Needham, spoke about the deal with Yahoo and suggested that there may be even bigger ambitions here, which is Netflix’s ability to position itself for A friendly relationship with Microsoft and may open the door to actual acquisition.
According to her, no other company with which Netflix could have been able to complete the $100 billion acquisition the company needed for financial or regulatory reasons. ” Netflix may be looking for a version Martin said. ” Netflix is trying to get close to Microsoft with the hope that after Microsoft absorbs its Activision acquisition, it will turn around and then buy Netflix “.
As a reminder, Netflix has been struggling financially for the past few months after the company announced that it had lost subscribers for the first time since 2011. Netflix has also confirmed that it expects to lose millions more subscribers in the coming months.. Thus, Microsoft’s acquisition may ensure that Netflix continues to develop and create more original content.
source : Hey ho
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