Netflix will Microsoft soon? The rumor swells after the agreement between the two giants!

Business news Netflix will Microsoft soon? The rumor swells after the agreement between the two giants!

Netflix and Microsoft team up: a cheaper subscription with advertising in the pipeline

Concretely, the idea of ​​Netflix would be Fund itself and attract a new audience by offering a cheaper subscription, but with integrating ads. way maybe Compensation for losing 200,000 subscribers Announced in the first quarter, offer a more attractive entry.

A launch date for this potential subscription has yet to be announced, but a huge announcement has been made: Netflix has partnered with Microsoft. Redmond Company already becomes Global Advertising Technology and Business Partner. The company run by Satya Nadella, according to Netflix, Proven to have the means to support advertising needs Related to this new offering, but it’s not new to the middle of streaming platforms. Going forward, Netflix notes the following:

Microsoft also provides the flexibility to innovate, both in terms of technology and sales, but also in ensuring strong privacy protections for our members.

For its part, Microsoft addressed the advertisers, indicating that those who agreed with the company It will be able to reach the Netflix audience but also “Premium Inventory for Connected TV Service”. In any case, this new subscription project still looks in full build, and we’ll have to be patient before we see it happen. The ads obviously had a huge impact, and This led to the emergence of many rumors. Some are far-fetched, but some analyst firms believe the agreement, as well as the way it was announced, actually hides Much bigger project.

Netflix/Microsoft Partnership, First Step in a Bigger Project?

As you understand, we are talking here about a possible Microsoft acquisition of Netflix. Laura Martin, Principal Analyst, Needham Groupwas asked about it recently by Yahoo Finance, and explained that Microsoft has, according to it, It embarked on a long-term process that would culminate in an acquisition proposal.

Thus, Microsoft lacks a service of this magnitude to confront Disney and Amazon, and Objectively it wouldn’t be the best option In terms of ad management, hence the idea of ​​a long-term operation that would appeal to Netflix. This analysis should be Taken with huge tweezers Because it only theorizes from market knowledge, and also depends on Microsoft’s recent behavior, who introduced himself Zenimax for $7.5 billionwhich is currently seeking approval from the authorities for Activision-Blizzard-King merge.

Microsoft may have huge amounts of cash available to invest, but the value of Netflix, right now, is It is estimated to be worth around 100 billion of dollars. It should also be noted that in the context in which Microsoft ultimately intends to introduce itself to Netflix, the company will likely follow very carefully SVOD view overall mode, more tense than before.