Alphabet’s (GOOGL) YouTube is in conflict with Comcast’s (CMCSA) NBCUniversal, and it could cause a blackout of the latter’s content for YouTube TV subscribers. According to reports, YouTube is seeking better discounts and access to more content on Peacock, NBCUniversal’s streaming app. However, NBCUniversal is sticking to its guns and has taken out ads putting YouTube on blast for its demands.
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The real question that YouTube TV subscribers have is how this will affect the service. If no deal can be reached, content from NBCUniversal will go dark on YouTube. What this really comes down to is a battle of leverage. If YouTube can put enough pressure on NBCUniversal, it might fold and give in to a deal that benefits YouTube. On the other side of that, NBCUniversal’s pull and wealth of exclusive content, such as live sports events, could force YouTube to give up on its push for better prices.
No matter the case, this disagreement between YouTube and NBCUniversal highlights how the more things change, the more they stay the same. While streaming has become the default way many people watch content, it’s still subject to the same problems that plagued cable television.
Alphabet Stock Movement Today
Alphabet stock was up 0.33% on Friday, signaling that investors were unconcerned about the spat with NBCUniversal. Investors will note that the shares have also rallied 30.7% year-to-date and 49.92% over the past 12 months.
Is Alphabet Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Alphabet is Moderate Buy, based on 30 Buy and nine Hold ratings over the past three months. With that comes an average GOOGL stock price target of $244.14, representing a potential 0.92% downside for the shares.
