It's pretty simple, Comcast execs are bearish on the whole streaming ecosystem and wanted to lock in a good price on Hulu in case there was any kind of devaluation in the next couple of years. They see Netflix as trading at bubble valuations and were concerned that possibly Hulu might be as well.
Comcast execs (and NBC execs) have said that they believe streaming is a low margin, high cost proposition. That's why they're focused on an AVOD service where ads will cover the whole cost of video, but they won't be trying as hard as others to make exclusive content and make the service their main money-maker for content distribution.
Only time will tell whether they're right or wrong. Nobody really knows what will happen yet as all these new services come online the next couple of years.
Very short sighted strategy IMO. The paid subs cable model is in freefall.. I don't see this being viable after 3-5 years.I think all of that is why NBCU is going for a free AVOD service that anybody with a pay tv subscription can use. They're just focused on making it a free ad supported service for those who remain in the pay tv ecosystem as I doubt they'll have many paid subs.
Netflix will probably lead the remainder given their first mover advantage and just how much they're spending on content.
I think Netflix is in a bit of a precarious spot - they are losing a lot of their third-party content and are developing a reputation for cancelling their first party content before the stories can be resolved. Why invest yourself in their first party content when you know it's likely to be cancelled after a couple of season's without a satisfactory ending?Not sure I agree with your list their. I see Disney+ as more a complimentary service to your Netflix/Amazon Prime sub. I dont see many people subbing just specifically to Disney+. The most common combination will most likely be Disney+/Hulu and Netflix and or Amazon Prime.
A year ago I was very bullish on Netflix. But I find myself watching their originals less and less, for this very reason. Despite first mover advantage, they may end up being disrupted by D+/Hulu. I do agree that D+ is more complimentary, but D+ plus Hulu is potentially a worthy competitor to Netflix and may surpass them as Netflix declines. And since the friction to change is not that high, there could be a lot more movement between streaming services as all this settles out.
First mover is an advantage but it is not a magic bullet to remain perpetually relevant. Otherwise we'd all be using Blackberries and Apple II computers.