Verizon eyeing Netflix? Big-time rumor alert
Netflix shares spiked more than 6 percent today on rumors that Verizon Communications is thinking about buying the troubled DVD rental and movie-streaming service.
Verizon has made it clear it wants to get into the streaming business, and according to a report from DealReporter, the troubled Netflix could be just the ticket, especially since its stock has fallen off a cliff in recent months after a series of disastrous moves that have included raising prices and a now-abandoned plan to split its DVD rental and streaming businesses in two.
Still, despite those stumbles, Netflix remains a household name and, as of today, has a market cap of $3.94 billion, meaning that it would not come cheap to any buyer.
I wondered when the buyout rumors for Netflix would begin…