Billionaire Bill Gates Predicted Netflix's Success 2 Decades Ago

Early in Netflix's (NASDAQ: NFLX) history, the biggest concern was the company's non-conventional business model. In what's become a cautionary tale for lack of vision and missed opportunity, in 2000 Netflix CEO Reid Hastings approached Blockbuster with an offer to sell his company for $50 million. Then-Blockbuster CEO John Antioco rebuffed the offer, calling Netflix a "very small niche business."

Things have changed. Aside from the fact that Netflix bankrupted Blockbuster, concerns about streaming video delivery have now given way to concerns Netflix will upend the traditional subscription television business model. Now instead of skepticism, Netflix has challengers: A recent report from app-focused website App Annie finds Netflix is facing increased competition on its home turf. However, a 20-year memo from Microsoft billionaire Bill Gates shows how Netflix will continue to expand its considerable lead in this industry.

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Source: Fool.com