Each week check out the MarketWatch feature on myBiz. We will report on facets of the economy to keep you informed and prepared for the internship and full-time job markets.
So…do you still have Cable?
Apparently after helping to grind Blockbuster into dust, OK gravel, Netflix is taking on premium cable. The company now has the rights to steam movies from three studios giving it the ability to showcase about 46% of the movies released last year according to Netflix Chief Content Officer Ted Sarandos. Hmmmm, Chief Content Officer. So for $8.99 a month you can access quite a bit on their streaming service when you add in the TV shows compared to the cost of premium cable.
Netflix currently has 15 million subscribers. Will they be able to take a bite out of, HBO and Cinemax’s combined 41 million U.S. subscribers? Well right now their looking to develop a complementary relationship with HBO accroding to an article in Bloomberg Businessweek, Netflix: Premium Cable's Worst Nightmare by Ronald Grover.
Nextflix has already teamed up with some major players increasing its market share. Not only does the company work with Microsoft and Sony to stream content through their game consoles it recently hooked up with Apple. Following an announcement from Steve Jobs indicating that Apple will use Netflix to stream movies for the iPhone and iPad using its new Apple TV and AirPlay, Netflix' shares climed 14 percent.
You True Blood fans just have to be patient, though; HBO won’t license any of its original series for streaming on Netflix - yet. Put it in the queue!
Sources: Bloomberg Businessweek, Apple News
Johnson & Johnson acquiring Crucell NV for $2.3 Billion
In a bid to boost their new vaccine business, Johnson & Johnson announced Friday that it intends to acquire Crucell NV, a Dutch biotech firm, for euro1.75 billion ($2.29 billion). Shares in Crucell, increased over 50 percent to euro24.25 in early Friday trading in Amsterdam.
Although one of the world’s biggest health care companies with $64 billion in annual sales, the New Brunswick, N.J. company is new to the vaccine market. Acuiring Crucell will give Johnson & Johnson a strong jump point. Last year Crucell was awarded a $69 million U.S. government grant to develop a universal treatment for the flu.
Have you had your Flu Shot?
Oracle and Research In Motion Boosting Tech Stocks
Stocks were down this morning. Mostly. Tech stocks receive a boost from the software giant Oracle and Blackberry OS creator, Research In Motion (RIM). Both reported increases after the closing bell Thursday. Shares of Oracle were up 6.1% early Friday, while RIM increased 1.9%.
Oracle has recently seen strong sales of its business software and growth of its new hardware business acquired in the recent Sun acquisition.
A press release from RIM the company attributes growth to, among other things, a 56% increase in Blackberry subscriber accounts and 45% increase in sales of their smart phones leading to a 31% increase in revenue.
Sources: Forbes, RIM Newroom, BNET