It seems lately many consumers are opting to stream videos to their TV lift cabinets instead of paying for the high priced cable plans. It may be a sign of the times, with the economy in a current decline, but many see it as the way of the future. Streaming videos allows consumers to watch what they are interested in watching on their own time schedule for a very affordable price.
This shift in consumer behavior has many communication giants wanting a piece of the pie. One such communication company is Verizon. Verizon Communications, the second-largest U.S. phone company, has recently announced in an investor conference, their plan to expand into the video market. Verizon just this past week has been rumored to be discussing a bid to purchase Netflix Inc.
Netflix, a subscription-based company for video streaming and DVDs by mail, saw its shares rise 1.2 percent to $76.13 two days ago in New York trading. This was a direct result of the rumored talks that Verizon might buy them out. In the last year Netflix shares took a nose dive after raising their customers streaming video price plans. However, both companies deny these discussions for a bid have occurred.
What we do know is Verizon has had meetings with Redbox, the movie-rental kiosk operator, along with other potential video partners this past month. It looks like Verizon, while trying to be discreet, is seriously considering their video options closely.