Netflix’s Stock has dropped by 11% since August 5, 2015. There are numerous reasons for the video streaming media’s decline. On Monday, it was observed that the share price of the video streaming giant has dropped by 2.26% and the stock of the giant was being traded at a share price of $100.30. The major reason for the decline in the company’s shares was the Emmy Awards.
Netflix, Inc.’s biggest rival in the Video Streaming market is currently Amazon Prime. At the Emmy Awards, Amazon series Transparent won five awards due to which Netflix’s stock price declined on Monday, despite of the fact that the Video Streaming Services company had more almost one-third nominations at the Awards Ceremony held on Sunday.
The video streaming giant has been seeing a tough time in the streaming market due to its rivals. All rivals who include Hulu, Amazon Prime, are coming up with competitive market strategies to attract as many new subscribers as possible so the current market leader is having trouble with a little competition. Recently, Amazon Prime has given its subscribers the privilege to download movies and shows that they can watch later with an internet connection while Netflix does not give its members that option as, according to the chief finance officer of the streaming company, the service would be fairly complex and challenging.
Along with this, its rival ‘Amazon’ is also working on adding more of its original content as well and plans to collaborate up with HBO to air some of the content provider’s popular series, which include The Wire and The Sopranos. Apart from this, Amazon is offering people to sign up for its service and become a member of Amazon Prime at a price as low as $67 on Friday. The company is offering people this discount to celebrate its Emmy Awards.
Hulu, yet another rival, has announced a no commercial content service to its subscribers and has also further extended its contract with Epix, a content distributor whereas the Media Streaming Player had recently broken off its deal with Epix and declined to further renew its license since it wanted to focus on producing its original content for the users.
Netflix’s shares went down by another 10% when Apple, Inc. announced that it was joining the video streaming service race as well. Investors believe this is a smart move by the tech giant as whichever industry it steps into, it is believed to be successful in it. In the middle of September, the stock of the company saw betterment when it announced that it would be collaborating up with Disney to put up the Star Wars series by next year.