Apple’s biggest mistake of the last decade was not to acquire Netflix, according to Wedbush analyst Dan Ives.
In an interview with Yahoo Finance, Ives says that acquiring the streaming giant years ago would have put the company in a much more advantageous position against rivals like Disney+, Peacock, and Amazon Prime Video.
“The biggest strategic mistake, in my opinion, from Jobs and Cook over the last 10 to 12 years, is not acquiring Netflix a number of years ago,” Ives told Yahoo Finance Live, referring to the deceased founder and former CEO, Steve Jobs, and the current CEO, Tim Cook.
While Apple has resisted such a move, Ives believes that the company must purchase a studio in order to compete.
“We’ve talked about an MGM, a Lionsgate, an A24, otherwise they’re going to continue to sort of be on the outside looking in,” Ives said. “And that’s why I think this is something they’re going to be forced into…because it’s all about content.”
The analyst believes that resisting such a move will continue to make the Apple TV+ library seem small compared to the rest of the streaming services.
“That’s the problem when it comes to this arms race we’re seeing especially with Disney and of course Netflix at top of the heap,” he said.
Apple has seen some success with Apple TV+ so far. Many of its shows and films have been nominated for awards. At the beginning of February, it was revealed that the streaming service received 11 nominations for the 52nd NAACP Image Awards.
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