Shares of Netflix (NFLX), the popular provider of TV shows and movie rentals, are exploding 6% on news the company will expand its online video service to 43 countries in Latin America and the Caribbean and will offer three languages including Spanish, Portuguese and English, according to Reuters. This is not the first time the company will be offering service outside of the United States. Last year it began offering its services to Canada.
The news from Netflix is contributing to the solid performance of the Dotcom Retailer Stocks Index, which is up 3%. Think Equity said that Latin America has a potential market size of 215 million people compared to 245 million in the United States, according to Reuters. Netflix continues to search for new subscribers as competitors like Apple (AAPL) andGoogle(GOOG) continue to make a push into the online rental space.
Also performing well today is the TV Service Provider Stocks Index. Companies likeComcast (CMCSA) and DISH Network(DISH) have seen increased competition from Netflix. Investors have become fearful that consumers will no longer purchase cable packages and will opt for the cheaper service Netflix offers. Comcast, the number one cable provider in America, has 22.8 million subscribers while Netflix has 23 million, according toReuters.
Also performing well today is the TV Service Provider Stocks Index. Companies likeComcast (CMCSA) and DISH Network(DISH) have seen increased competition from Netflix. Investors have become fearful that consumers will no longer purchase cable packages and will opt for the cheaper service Netflix offers. Comcast, the number one cable provider in America, has 22.8 million subscribers while Netflix has 23 million, according toReuters.
