Amazon (AMZN)’s multi-year content licensing deal with Time Warner (TWX)’s HBO, which will bring a collection of some of the best shows ever made to Amazon’s prime users, including some classic TV like “The Sopranos”, “Deadwood” and “The Wire”, could make the e-commerce giant a serious threat to Netflix (NFLX), Wedbush analyst Michael Pachter told clients in a note Wednesday.
[via MarketWatch] “In our view, the first wave of HBO content on Prime Instant Video is unparalleled for a subscription-only online streaming service from a quality perspective,” Pachter wrote.“The HBO deal”, he added, “positions Prime Instant Video as a viable competitor and potentially more appealing alternative to Netflix.” According the analyst, the deal, which is a first for HBO as the premium service has kept past episodes of its programming inside its own on-demand platforms, would allow Amazon to offer nearly 70 series “that we believe HBO owns outright, with multiple seasons available for the more successful shows. In comparison, we believe that Netflix’s original series figure is closer to ten, with up to only two seasons available.”
Shares of Amazon, which have leaped more than 20 percent year-over-year (y/y) were down 1.53% to $324.29 in afternoon trades. Netflix, up 64% y/y, was down 4.84% to $354.67.
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