Author Topic: AMZN - Amazon.com Inc.  (Read 720353 times)

Liberty

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Liberty

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valueinvestor

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Re: AMZN - Amazon.com Inc.
« Reply #2512 on: June 18, 2020, 10:32:05 PM »
https://www.cnbc.com/2020/06/16/amazon-media-assets-worth-500-billion-almost-as-much-as-aws-needham.html

I own Amazon and not Netflix, but even I know Netflix is not the same as Amazon TV. Sure twitch is growing sporadically, but comparing AmazonTV to Netflix, where they have to make continual investments to catch up with Netflix and ascribing the same multiple is ludicrous. There's a reason why Netflix is valued higher, as it's almost a monopolistic, a pure-play streaming company that is much better at leveraging data than any other streaming company, and heavily under-monetized. I don't know their endgame with all this, but they are certainly leading the charge, imho.


rkbabang

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Re: AMZN - Amazon.com Inc.
« Reply #2513 on: June 19, 2020, 01:06:48 PM »
https://www.cnbc.com/2020/06/16/amazon-media-assets-worth-500-billion-almost-as-much-as-aws-needham.html

I own Amazon and not Netflix, but even I know Netflix is not the same as Amazon TV. Sure twitch is growing sporadically, but comparing AmazonTV to Netflix, where they have to make continual investments to catch up with Netflix and ascribing the same multiple is ludicrous. There's a reason why Netflix is valued higher, as it's almost a monopolistic, a pure-play streaming company that is much better at leveraging data than any other streaming company, and heavily under-monetized. I don't know their endgame with all this, but they are certainly leading the charge, imho.

I agree.  If I had to pay extra for Amazon Prime TV over the price of Prime I wouldn't subscribe.  It is a nice perk for prime members, but it isn't Netflix.

glorysk87

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Re: AMZN - Amazon.com Inc.
« Reply #2514 on: June 19, 2020, 01:36:21 PM »
https://www.cnbc.com/2020/06/16/amazon-media-assets-worth-500-billion-almost-as-much-as-aws-needham.html

I own Amazon and not Netflix, but even I know Netflix is not the same as Amazon TV. Sure twitch is growing sporadically, but comparing AmazonTV to Netflix, where they have to make continual investments to catch up with Netflix and ascribing the same multiple is ludicrous. There's a reason why Netflix is valued higher, as it's almost a monopolistic, a pure-play streaming company that is much better at leveraging data than any other streaming company, and heavily under-monetized. I don't know their endgame with all this, but they are certainly leading the charge, imho.

Methinks you don't know the definition of monopoly. Netflix is very very very far from a monopoly.

villainx

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Re: AMZN - Amazon.com Inc.
« Reply #2515 on: June 19, 2020, 01:40:33 PM »
https://www.cnbc.com/2020/06/16/amazon-media-assets-worth-500-billion-almost-as-much-as-aws-needham.html

I own Amazon and not Netflix, but even I know Netflix is not the same as Amazon TV. Sure twitch is growing sporadically, but comparing AmazonTV to Netflix, where they have to make continual investments to catch up with Netflix and ascribing the same multiple is ludicrous. There's a reason why Netflix is valued higher, as it's almost a monopolistic, a pure-play streaming company that is much better at leveraging data than any other streaming company, and heavily under-monetized. I don't know their endgame with all this, but they are certainly leading the charge, imho.

I agree.  If I had to pay extra for Amazon Prime TV over the price of Prime I wouldn't subscribe.  It is a nice perk for prime members, but it isn't Netflix.

It makes Prime price increases easier to accept though?

valueinvestor

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Re: AMZN - Amazon.com Inc.
« Reply #2516 on: June 19, 2020, 01:55:06 PM »
https://www.cnbc.com/2020/06/16/amazon-media-assets-worth-500-billion-almost-as-much-as-aws-needham.html

I own Amazon and not Netflix, but even I know Netflix is not the same as Amazon TV. Sure twitch is growing sporadically, but comparing AmazonTV to Netflix, where they have to make continual investments to catch up with Netflix and ascribing the same multiple is ludicrous. There's a reason why Netflix is valued higher, as it's almost a monopolistic, a pure-play streaming company that is much better at leveraging data than any other streaming company, and heavily under-monetized. I don't know their endgame with all this, but they are certainly leading the charge, imho.

Methinks you don't know the definition of monopoly. Netflix is very very very far from a monopoly.

True - I used the wrong term.

valueinvestor

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Re: AMZN - Amazon.com Inc.
« Reply #2517 on: June 19, 2020, 02:03:21 PM »
There are certain nuances that one needs to consider, if I had to bet on Amazon Prime TV vs Netflix, it will always be Netflix.

Netflix had a multi-year head start and passed the Growth CAPEX required to create a moat. Although they are far from a monopoly in a traditional sense, they are definitely dominant. In order to reach Netflix depth of data know-how, competitors will have to spend $$$ and time to reach that level. Unless there's a major pivot on how data dictate how content is produced, marketed, and delivered, then I do not see how they will catch up. Unless we have a Sam Walton of Netflix in our midst and gunning for them through sheer cost efficiency, but that's not going to happen with Amazon, Disney, etc. Another concern is if they have a string a flops because of data dictating content, such as Bright, but I've heard that was not actually a flop from an ROI perespective. Again not invested in the name, but the core argument is to slap a $500 Billion Dollar Valuation on Amazon Prime TV using Netflix as a comp is similar to comping Tim Horton's with Starbucks.

KJP

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Re: AMZN - Amazon.com Inc.
« Reply #2518 on: June 20, 2020, 05:00:16 AM »

Netflix had a multi-year head start and passed the Growth CAPEX required to create a moat.

How do you know this to be true?  At what point was a "moat" created and how do you know?  [Not saying you are wrong, just curious what specific facts have led you to these conclusions.]

In order to reach Netflix depth of data know-how, competitors will have to spend $$$ and time to reach that level.

I'm assume you're not an insider with access to Netflix proprietary data.  So, as an outsider, how do you know the extent of Netflix's data know-how and its real value?  I understand the hypothesis about why Netflix have built-up a big data know-how advantage, but what are the metrics you look at to determine the actual strength of this in the real world?

gfp

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Re: AMZN - Amazon.com Inc.
« Reply #2519 on: June 20, 2020, 05:12:29 AM »
Enjoyed reading page one of this thread this morning.  2012.  100 Billion dollar market cap.  Fascinating stuff