The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.
NEW YORK (Trefis) -- Netflix (NFLX) is reportedly in talks with major U.S. cable companies in the hopes of finding a partner to offer its streaming service as part of cable TV programming bundle. This is surprising as in recent years these companies considered Netflix a threat. However, given that Netflix has concentrated on bringing older movies and TV shows to its subscribers, it has transformed its image from a threat to a complementary service for cable companies.
The company has realized that partnering with the cable companies can provide a new marketing channel which will help boost its subscriber growth and consequently help it expand its lead in content among major streaming services. This will help Netflix in competing better against the emerging players such as Amazon (AMZN), Dish Network's (DISH) Blockbuster and others. We talked about this emerging competition earlier.
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