Liberty Media's Malone: Cable will be fine in 'random access' world being shaped by Netflix
While conceding his own companies "missed the boat a little bit" in letting upstart Netflix become the dominant force in over-the-top distribution, Liberty Media Chairman John Malone said his cable holdings, which include the burgeoning Charter Communications empire, are still well-positioned in an over-the-top (OTT) future.
"The fact that we have high-speed connection, having something like Netflix is good," Malone said. "From the video business point of view he [Netflix's CEO] has taken a share of viewership, and that might not be good." Malone's comments echo opinions recently conveyed by other top cable executives. For example, Cablevision CEO James Dolan told investors in June that margins for data services are currently out-performing those for video at his company by a factor of 7 to 1. "The video product itself has lost a tremendous amount of margin," Dolan said.
Liberty Media's Malone: Cable will be fine in 'random access' world being shaped by Netflix