Netflix Shares Fall After Report About Apple-Comcast Streaming-TV Service Talks
UPDATED: Even though the partnership is only in the discussion phase and might not pan out, Netflix shares sunk 7 percent Monday.
Shares of Netflix dropped 7 percent on Monday after a report said that it might get some new competition from a streaming product that Apple and Comcast are jointly working on.
According to the Wall Street Journal, Apple is talking to Comcast about a service that would store movies and TV shows in the cloud and could be played on-demand without an extra cable box.
Apple is angling to get a sweetheart deal from Comcast so that the TV service could use an Internet service separate from public Internet traffic, according to the Journal.
Even though the partnership is only in the discussion phase and might not pan out, Netflix shares plunged $27.09 on Monday to $378.90, and the shares were off another 2 percent after the closing bell.