Netflix CEO Reed Hastings recently suggested that Netflix’s Instant Watch service could one day be bundled in with your cable package, and now Reuters is reporting that Netflix has already begun talks with “some of the largest U.S. cable companies” to make that happen.
“There’s no reason that doesn’t make sense for Netflix, depending on the economics,” Hastings said at a conference last week. “If we look at potential competitors, if we can share some of the margin with them and then they’re making money because they are upselling us through their ecosystem, that’s a good thing all around.”
Reuters’ report goes on to say that Netflix’s service could be made available as an alternate on-demand option for cable subscribers, and that consumers could stream content from Netflix straight from their cable set-top box.
The report didn’t go too far into detail beyond that, but a fourth, unnamed source told Reuters that Netflix’s Instant Watch service could be bundled in with cable packages as an additional option on a subscriber’s cable bill.
This isn’t likely to come to fruition anytime soon, however. Netflix will have to face quite a few hurdles to make their dream of including their streaming service in cable packages a reality. For instance, Engadget points out that Netflix would have to rework its existing content licensing agreements which bars Netflix from being made available on set-top boxes.
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