This White Hot Movie Company is Expanding to Latin America
Netflix Inc. (NASDAQ:NFLX) is currently in negotiations with entertainment companies for rights to stream their movies and television shows in Latin America (NYSE:ILF), which would make the region their third market after the U.S. and Canada (NYSE:EWC), where Netflix began a streaming-only subscription service just last year.
Some of the companies currently in talks are Walt Disney Co. (NYSE:DIS), Lions Gate Entertainment Corp. (NYSE:LGF), and Viacom Inc.’s Paramount Pictures (NYSE:VIA.B), though all have declined comment thus far. Chief executive officer Leslie Moonves of CBS Corp. (NYSE:CBS) has commented that they are in “serious talks” with Netflix for both Canadian and Latin American rights.
According to Steve Swasey, Netflix is currently “looking at international expansion in a lot of places.” CEO Reed Hastings, who spoke at the Wired Magazine conference Tuesday, hinted at possibly expanding to Brazil (NYSE:EWZ), India (NYSE:IFN), Turkey, and Australia (NYSE:EWA).
On April 26, Netflix (NASDAQ:NFLX) said that its plans for international expansion will lead to operating losses of as much as $70 million in the second half, up from a previous forecast of $50 million.
Here’s your Cheat Sheet to how these companies are trading now:
Netflix (NASDAQ: NFLX) is down 1.47%, Walt Disney Co. (NYSE:DIS) is down 1.58%, Viacom Inc. (NYSE:VIA.B) is down 0.08%, and Lions Gate Entertainment Corp. (NYSE:LGF) is down 0.32%, while CBS Corp. (NYSE:CBS) is up 3.96%.