Netflix Snags DVD.com Domain

The DVD business remains an important cash cow

   

Netflix Snags DVD.com Domain

Netflix Netflix Snags DVD.com DomainThe death of the DVD might be greatly exaggerated. According to a Techcrunch post, Netflix (NASDAQ:NFLX) has purchased the DVD.com domain.

Over the years, the company has been aggressively transitioning its business towards streaming while taking several attempts to marginalize its traditional DVD-delivery segment. Yet its customers do not seem to want it to go away, as seen in the uproar during last summer’s pricing/Qwikster split.

With the DVD.com purchase, it looks like Netflix is trying to find a way to keep the DVD business robust. It still is highly profitable, and should remain a key source of cash flow that will help pay for heavy investments for the streaming business — which is critical considering Netflix is facing a growing number of rivals like Amazon.com (NASDAQ:AMZN), Google (NASDAQ:GOOG), Apple (NASDAQ:AAPL) and Hulu.

– Tom Taulli, InvestorPlace.com


Article printed from InvestorPlace Media, http://investorplace.com/2012/04/netflix-snags-dvd-com-domain/.

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