Lazard Capital analyst Barton Crockett says there’s enough margin thickness and consumer elasticity to sustain 8% annual program fee increases for another dozen years. But as the system reaches its limits, Crockett also finds that programers like Disney will be hit hardest.
As Netflix CEO Reed Hastings makes noise about his company mounting a challenge to HBO, the pay-TV network recovered momentum in the fourth quarter and added subscribers. SNL Kagan reports it added 190,000 net subscribers after two quarters of declines.
