WORST COMPANIES IN AMERICA

24/7 Wallstreet has compiled a list of the worst run companies in America. It used a number of factors to evaluate the companies including stock price, dividends paid, product launch success, financial results, success of new management and the performance of each company within its industry. Not surprisingly a number of technology oriented companies made the list.

Research in Motion (RIM) came in at #2 on the list. It's delay in releasing competitive products and poorly designed products with the inability to compete against Apple and Android were sited as two of the main reasons.

At #4 on the list is Eastman Kodak. With the inability to transition from an operating company to a patent holder with intellectual property to license investors are very skittish on the company. It's stock price is down 79% YTD and many investors are suing the company for misleading them about how much capital it had on hand.

In the 7-9 spots are Hewlett-Packard, Groupon and Netflix respectively. HP has lost up to 22% of it's stock price with the main concern around the ability to find a successful successor to Mark Hurd. Groupon has never made a profit and there are concerns about it's accounting practices. Rounding out the list is Netflix. It makes the list mainly due to the debacle this summer where the company raised rates on customers 60%. It lost over 800,000 customers according to it's most recent filing.

To read the rest of the list and see who was in the best companies catagory, hit the link above.

GAME CONSOLE OWNERS STREAMING MEDIA USAGE INCREASES SIGNIFICANTLY

New data from Nielsen suggests that console owners are using their Xbox 360, PS3 and Wii game consoles to stream video content more than ever before. “Streaming now represents a reported 14 percent of Xbox 360 time, 15 percent of PS3 time and 33 percent of Wii time,” Nielsen said Wednesday. The market research firm explained that the growth in time spent streaming was driven by services such as ESPN 3, Netflix, MLB Network and Hulu, but that time spent using consoles also increased overall. Console usage during the first half of 2011 jumped 7% from the same time period last year. Nielsen said gaming is the most popular activity on Xbox 360 (34% of usage), the PS3 is most used for DVD/Blu-ray viewing (22% of usage) and the Wii is used most for offline gaming (55% of usage)

RUMOR: VERIZON TO BUY NETFLIX

Netflix's share price has soared on a rumor that Verizon is in talks with the video company to acquire them. DealReporter is making the claim and is backing it up with some circumstantial evidence.

Last week, Verizon CEO Lowell McAdam said that his company wants to offer video streaming, and had even looked at Hulu when it was on the block. He declined to comment on reports Verizon is preparing to team up with Coinstar’s Redbox.

VERIZON AND REDBOX TEAM UP FOR STREAMING SERVICE

On Wednesday we reported on a story that suggested Verizon may be planning to challenge Netflix by launching its own video streaming service. Now, it appears the communications giant is secretly working with RedBox, the popular $1.00 video rental kiosk company, on a streaming service that could launch next year. According to TechCrunch, the plan is currently called “Project Zoetrope” and it will allow users to subscribe, download and stream movies and television shows across a variety of platforms including Roku, web browsers, Xbox, Google TV, Android and iOS.

Like competing services such as Vudu, both HD and SD resolutions will be available for rental. TechCrunch said pricing will be based on a monthly credit allotment. A user, for example, might buy 10 credits for $9.95 per month, which would allow him or her to stream a certain number of shows or movies. Apple, Amazon, Google, Netflix, Vudu and others are already members of the crowded digital movie rental space, so Verizon and RedBox will certainly face stiff competition if they’re looking to enter this market.

VERIZON TAKING ON NETFLIX

According to Reuters, Verizon is getting ready to enter the streaming media market. Reports are that the company is in talks with programming partners to provide content for a Netflix-like video service that it could offer to customers not currently covered by its high-speed FiOS network. Obviously, details are scant, and there's no telling when it might actually launch, but you can bet its competitors will be watching closely

BLOCKBUSTER EXPRESS KIOSKS FOLLOW COMPETITION, RAISES PRICES

In a continuation of the worst fad ever, it appears NCR's Blockbuster Express kiosk biz is the the latest to come down with a case of price hike-itis, following competitors Redbox and Netflix. Of course the cause behind this is the studios, who are pushing for higher rates on new release movies or delayed windows. The 3-2-1 pricing structure it has been testing kicks in on "Hot Movies" in the first month they're available, renting for $3 the first night (additional nights are still just $1 each, Blu-ray discs still cost $1 extra the first night), dropping to $2 after a month and then to $1 after 90 days. Expect the squeeze to be continually and evenly applied to your video rental options as long as Hollywood believes it increases sales.

BLOCKBUSTER HIT WITH 28 DAY DELAY BY WARNER BROS

Warner Bros has decided to give Blockbuster the same month long delay the studio loves so much before new movies can be rented out as its competitors, Redbox and Netflix. While Blockbuster has had delays at its kiosks already, being first to get new flicks in stores has been a part of its marketing for a while. The LA Times reports Blockbuster so far is turning to simply buying the copies it needs at retail to rent them out immediately, but we'll see how long that lasts. If you enjoy your discs via kiosk or mail don't think you're out of the woods either, as the paper mentions Warner wants to delay new flicks to those outlets even longer when their deals are renegotiated.

NETFLIX LOSES 800,000 CUSTOMERS IN Q3

After a tumultuous third quarter the numbers are finally in for Netflix, and as expected its price hike and Qwikster madness have cost it a few customers in the US. Currently the company is reporting a total of 23.79 million customers in the US, down from 24.59 million last quarter -- fewer than even it projected a few weeks ago. According to the report, it lost more "long term" customers than expected, which it attributes, again, to its poor explanation of the reasoning behind the change. To address those decisions and its inability to reach a new deal with Starz it has a few more numbers to show, as apparently only 7 percent of new customers are opting for the $15.98 hybrid package, while Starz Play content currently accounts for about six percent of streaming hours. Other competitors are also mentioned -- Amazon Prime Instant Video's content library is referred to as "duplicative" and just a "small fraction" of what Netflix offers, as it counts on newly-signed exclusive deals to widen the gap.

Those deals mean new movies like Drive, Paranormal Activity 3, The Rum Diaries and The Immortals will show up on Netflix in the usual pay-TV window, on top of a library of catalog TV shows that pulls from all five broadcast networks and 95 percent of cable TV stations. Internationally, Netflix is up to one million customers in Canada where it plans to double quarterly content spending, while Latin American customers can look forward to iOS and Xbox support soon. While its UK launch is on for Q1, it expressed concern for competition from Sky Movies, BBC and Lovefilm, and it plans to hold off on further expansion after that.

NETFLIX EXPANDING TO UK AND IRELAND IN 2012

Well it looks like Netflix's rumored UK launch was a lot more than just a rumor. Today, the company announced that it will indeed expand to the UK and Ireland "in early 2012," promising to offer unlimited streaming on PCs, tablets and mobile devices at a "low monthly subscription price." The company didn't say what that price would be, nor did it offer any details on available content or supported devices, though more details will be announced closer to its launch. We're also expecting to hear more from Netflix during its Q3 earnings conference call later today, when we should find out about the impact of its recent price hike and Qwikster turnaround. Whether or not its foray into the UK can loosen Lovefilm's grip on the domestic market, however, remains to be seen.

HONEYCOMB TABLETS GET NETFLIX STREAMING

Netflix subscribers can finally stream movies to their Android tablets without worrying about installing third-party .apks files or attempting annoying work-arounds. The company announced on Wednesday that its application now supports tablets running Android 3.x (Honeycomb). In addition, the Netflix app supports users in Canada and Latin America now. Netflix for Honeycomb is free, provided you already subscribe to the company’s “Watch Instantly” streaming service, and it is available in the Android Market now.

NETFLIX DROPS PLANS FOR QWIKSTER

Bowing to an outcry from its customers, Netflix is dropping a plan to spin off its DVD service into a new company called Qwikster, the New York Times reported Monday.
In an interview with Brian Stelter, who writes the newspapers Media Decoder blog, Netflix spokesman Steve Swasey said, "We underestimated the appeal of the single web site and a single service.”
"We greatly underestimated it," he said.

Netflix CEO Reed Hastings declined to be interviewed by the Times, but he said in a statement: “Consumers value the simplicity Netflix has always offered and we respect that. There is a difference between moving quickly — which Netflix has done very well for years — and moving too fast, which is what we did in this case.”
Later, the company posted a blog confirming the news. "This means no change: one website, one account, one password… in other words, no Qwikster," the blog said.

NETFLIX STRIKES DEAL WITH DREAMWORKS

It looks like those rumors of a streaming deal between Netflix and Dreamworks Animation were as good as advertised. Details are still fuzzy at this point, but the New York Times is reporting that the two parties have reached an agreement to stream Dreamworks' movies and TV projects, as part of a deal worth an estimated $30 million. Under the contract, which replaces a similar pay TV pact between Dreamworks and HBO, Netflix will begin offering exclusive access to the studio's new films in 2013, with Antz, Kung Fu Panda and other titles from its library slated to become available for streaming sometime thereafter.

The company won't be confined to selling digital copies of Dreamworks' movies within a specific period, either, drawing a major distinction between itself and HBO, which requires studio partners to halt digital sales outside of an exclusive window. HBO probably isn't too thrilled to see Netflix strike what Dreamworks chief exec Jeffrey Katzenberg called a "game-changing deal."

FACEBOOK UNVEILS TIMELINE, COZIES UP TO NETFLIX AND SPOTIFY

During the F8 conference on Thursday, Facebook’s CEO Mark Zuckerberg took the stage to introduce a host of new features that are rolling out to the social network. The major change is called “Timeline” and it takes advantage of existing pictures and status updates to create a more visual experience of “who you are.” As you scroll down your personal timeline, you’ll be able to view pictures and updates throughout the years. There is a new option in the upper right-hand side of your profile to quickly skip to a year in time too, and many of the features are also available on Facebook’s mobile applications.

Timeline automatically hides information that Facebook doesn’t think is important, but if it is, you can easily switch it to show that content. In addition, users can click the Timeline and add photos to earlier points in time before Facebook existed, such as their childhoods. Apps can also populate the timeline.

Zuckerberg also stated that users can now listen to music, read news, and watch TV and movies right through Facebook. For some of the content, you can simply hover over your friends’ post that shows up in your news Ticker and instantly have access to that content. For example, if you see that a friend of yours is listening to REM via Spotify, you can simply click on their post and be instantly connected to the song they’re listening to and listen along with them. Then, you can open up your chat and talk with your friend about how sad you are that REM finally broke up.

NETFLIX SPINS OF DVD BUSINESS TO QWIKSTER

Over on Netflix's official blog, company head Reed Hastings has announced in a surprisingly humble blog post and video (see below) that it's splitting the DVD-by-mail business away into a new venture dubbed Qwikster (horrible name that conjures up the Amway site Quixtar). While the recent price changes already split the cost for each service, when this takes effect in a few weeks it will result in two different websites, two different sets of movie ratings and queues, and two different charges on customer's bills. Reed admits two separate sites may make it more difficult to manage a presence on both, but says dropping the need for compatibility between the two will enable new features to balance that out (huh?). The familiar red envelopes will remain, however they will now sport the new Qwikster (ugh!) logo.

In other news, Netflix Qwikster (god, I hate that name) is getting into video game rentals, available for an extra charge similar to the existing Blu-ray disc option.

NETFLIX OFFERS STARZ $300 MILLION FOR RENEWAL, STARZ WALKS AWAY FROM TALKS

Netflix offered Starz more than $300 million per year to renew their agreement, but the pay cable channel was insistent on so-called tiered pricing, according to people close to the negotiations but not authorized to speak on the record. Tiered pricing would require Netflix subscribers who want movies and television shows from Starz and other premium providers to pay more than the standard $8 per month. That demand was apparently a key sticking point in talks that fell apart Thursday, meaning the two companies' deal, which began in 2008, will expire at the end of February. Starz wanted Netflix to charge a premium price for its content in order to put the popular online video service more in line with cable and satellite providers. Protecting relationships with multiplatform video programming distributors (MVPDs) like DirecTV and Time Warner Cable is critical to Starz. The MVPDs are wary of Netflix because they fear customers will "cut the cord" if enough fresh content is available online at a lower price.

WAL-MART ADDS MOVIE STREAMING TO WEBSITE

Wal-Mart Stores Inc. has added streaming movies to its website as the world's largest retailer attempts to grab a bigger share of the online movie market from rival service Netflix Inc.

The decision to offer movie sales and rentals through Walmart.com comes just two weeks after Netflix raised prices for the majority of its customers. The price hike provoked howls of protest from consumers and disappointing subscriber growth projections, leading to a significant drop in Netflix's stock price.

Wal-Mart, long the nation's leading seller of DVDs, signaled its intent to double down on digital movie distribution in February 2010, when it spent a reported $100 million to acquire Vudu, a Silicon Valley start-up that was gradually being added to home entertainment devices.

Since the acquisition, Vudu has been able to leverage the giant retailer's clout with manufacturers to incorporate is service into more than 300 consumer electronics products, including Internet-connected television sets, Blu-ray disc players and the Sony PlayStation 3 game console.

This spring, Vudu began offering movie rentals and purchases via the Web, through Vudu.com, positioning the service to better compete with the likes of Amazon.com, Apple Inc.'s iTunes or Blockbuster.

Offering 20,000 movie titles for rental and purchase through Wal-Mart's website, which attracts about 40 million monthly visitors, is a further step in that direction. It better positions the retailer to take on established online players, as well as traditional competitors such as Best Buy, which last may bought digital video service CinemaNow.

On Wal-Mart's website, the movies will be available the same day the DVDs go on sale in stores. Rental prices range from 99 cents to $5.99. Digital purchases are priced from $4.99 to $24.99.

WHY NETFLIX IS RAISING PRICES

Why is Netflix raising its prices? In part, because the company miscalculated how many people still want to receive DVDs by mail each month, a more expensive service to provide compared to its streamed Internet videos.

Netflix has been trying to lure subscribers away from its DVDs by offering cheaper plans that include movies and TV episodes delivered over its Internet streaming service. In November, it began offering a streaming-only plan for $8, its cheapest option at the time. Yet Netflix customers aren't flocking to Internet video as quickly as some analysts said the company expected.
Many consumers are unwilling to give up the trademark red envelopes.

DVDs feature newer titles and the latest theatrical releases that aren't available through the company's streaming service.
So the company is adjusting its pricing to reflect the cost of its DVD business and to help bring in more money to cover growing expenses for streaming content.

RUMOR: RIM CREATING APPLE TV COMPETITOR

Research In Motion is currently working on a media box codenamed “BlackBerry Cyclone” that will launch later this fall, BlackBerry news site NerdBerry.net reports. The rumored media hub is said to be similar to Apple’s iOS-based Apple TV box, which connects to a television and plays streaming video content from iTunes. The BlackBerry Cyclone’s purported capabilities include Netflix streaming, YouTube streaming and streaming from media devices connected to the same Wi-Fi network. The unit will also reportedly feature an HDMI-out port.

The move would be a peculiar one from RIM, as it does not have an iTunes competitor to speak of and even with the extremely popular multimedia market, the Apple TV has not been an overly successful device for Apple. The Cupertino-based company announced the million-unit milestone for its refreshed Apple TV late last year, but we haven’t heard much about it since that time. RIM is also in the midst of prepping its first QNX-powered smartphone for release in 2012, not to mention seven BlackBerry handsets due to launch later this year,

NETFLIX RAISES PRICES, INTRODUCES NEW PLANS

Netflix announced two new unlimited DVD plans on Tuesday, including a $7.99 option for one DVD at a time and an $11.99 option that allows users to rent two DVDs at a time. The company also said that it will discontinue its current $9.99 monthly option that provides access to unlimited DVD rentals and unlimited instant streaming each month. Instead, the movie rental service will charge users $7.99 a month for unlimited streaming and a minimum of $7.99 per month for unlimited DVDs (with one rented out at a time at that rate).

Essentially, that means users with the current $9.99 offering will instead have to cough up $15.98 per month in order to maintain their current subscription plan. “Reflecting our confidence that DVDs by mail is a long-term business for us, we are also establishing a separate and distinct management team solely focused on DVDs by mail, led by Andy Rendich, our Chief Service and Operations Officer and an 11 year veteran of Netflix,” the company said in a blog post. Netflix’s current plans will expire in September, and users will need to switch to a new plan by that time.

RUMOR: APPLE PLANNING iOS POWERED TV COMING IN FALL

Apple may have an iOS powered TV in the works. According to Daily Tech, one former Apple executive recently said that customers will soon be able to “go into an Apple retail store and be able to walk out with a TV. It’s perfect.” Apple won’t build the televisions itself, though. Instead a manufacturer like Samsung may be behind the product. The former exec also said that the Cupertino-based firm will “blow Netflix and all those other guys away,” so we presume there’s a connected aspect that will allow users to access iTunes content in a manner similar to the current Apple TV product. Apple has been rumored to be working on a connected television numerous times in the past, though obviously nothing has materialized to date.