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Netflix Snags Domain

The DVD business remains an important cash cow


Netflix NFLXThe death of the DVD might be greatly exaggerated. According to a Techcrunch post, Netflix (NASDAQ:NFLX) has purchased the 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 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 (NASDAQ:AMZN), Google (NASDAQ:GOOG), Apple (NASDAQ:AAPL) and Hulu.

— Tom Taulli,

Article printed from InvestorPlace Media,

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