This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Cablevision Channels Its Own Netflix

Stocks in this article: CVC AAPL CSCO NFLX

NEW YORK ( TheStreet) -- Cablevision's (CVC) new Apple (AAPL) iPad TV application is looking a lot like a Netflix (NFLX) killer.

On Saturday, two weeks after Time Warner Cable (TWC) introduced an iPad app, Cablevision offered its own version of iPad TV broadcasts called the Optimum app. The service is available in the homes of Cablevision customers and it offers all the channels and video-on-demand services that TV subscribers are signed up for.

The move by Cablevision and Time Warner Cable highlights the building rivalry with Netflix, the Internet firm that has been expanding its video streaming beyond movies to TV programming. Cable companies have seen mass defections as subscribers cut the so-called cord and seek cheaper TV and movie alternatives over the Internet.


The response by the cable industry is an initiative called TV anywhere, which promises to deliver the full TV package to any device. Cablevision says the Optimum application, which effectively makes the iPad a TV, is part of a broader plan to put subscribers' video on a range of mobile devices. This seems to imply apps for Google's (GOOG) Android phones and tablets.

TV programmers like Scripps Networks (SNI) and Viacom (VIA) are not fully on board with the cable companies' tablet TV plan. Both Scripps and Viacom initially objected to Time Warner Cable's iPad app, saying the cable company hadn't gained approval to stream TV to iPads.

Cablevision says it is using its own virtual set-top box technology to deliver the video to iPads, and says it is not using the Internet for TV distribution.

And in an attempt to preempt any legal disputes, Cablevision said in its press release that it "has the right to distribute programming over its cable system to iPads configured in this way under its existing distribution agreements with programming providers."

Cablevision declined to comment on whether there has been any reaction from any media companies. Cablevision did say that the Optimum App is the top download in the entertainment category in the Apple App Store and is the ninth most popular download overall.

One apparent loser in Cablevision's shift away from cable box hardware is Cisco (CSCO), the No. 1 set-top box supplier to Cablevision. The setback is among many recently for Cisco, which has been losing ground in some of its core businesses over the past six months.

Cisco shares are down 30% in the past five months and Netflix shares have surged 38% so far this year.

--Written by Scott Moritz in New York.

>To contact this writer, click here: Scott Moritz, or email:

To follow Scott on Twitter, go to

>To send a tip, email:

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs