Question: Apple s iSTREAM went live this week, casting a shadow over the future of original online content streamers and of two relatively young companies called
Apples iSTREAM went live this week, casting a shadow over the future of original online content streamers and of two relatively young companies called Netflix and Hulu. Buoyed by strong iPhone and iPad sales as well as billion investment in Hollywood movie studios, Apple iSTREAM allows users to have instant access to thousands of original TV shows as well as movies with their iPhones and iPads online. The company says the new service will make online streaming affordable and highly customized based on consumers online behavior on their iPhones and iPads. This poses a bit of a challenge for Netflix and Hulu, which also aim to make online streaming more customized and valuable experiencebut by consolidating user preferences of past shows. Id be very surprised if those guys didnt feel like a tornado just entered their world, said Pinoccio Altzman, chief product officer at WeShow, an online TV programmingdesign company in Silicon Valley.
According to the excerpt above, Netflix and Hulu forgo their temporary competitive advantage, because:
Group of answer choices
None of the above.
Apple has successfully imitated these companies capabilities in online streaming via substitution.
Apple has successfully imitated these companies capabilities in online streaming via direct imitation.
Firms resources in the consumer online streaming industry are extremely mobile.
Netflix and Hulus capabilities in online streaming are no longer valuable.
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