Video services

Netflix Warns of 2012 Loss

More turbulence at the once-high-flying Netflix Inc. (Nasdaq: NFLX) kicks off Tuesday's cable news roundup.

  • Netflix Inc. (Nasdaq: NFLX)'s rocky 2011 will extend into next year amid a warning that the company expects to post a loss in 2012, citing anticipated flat consolidated revenues and costs associated with its international expansion. Concerns about Netflix's cash-flow position rose Monday when the company agreed to sell $400 million in stock and convertible notes as it looks to shore up its balance sheet and obtain funds to secure more rights to movies and TV shows. (See How Far Will Netflix Fall? )

  • Morgan Keegan & Company Inc. analyst Simon Leopold maintained his "outperform" rating on Arris Group Inc. (Nasdaq: ARRS) after the company closed its acquisition of BigBand Networks Inc. (Nasdaq: BBND) on Monday, but thinks the rating may be conservative "depending on how quickly cost synergies are realized." Arris believes it can reduce quarterly opex at BigBand by $7 million by the third quarter of 2012. Before the deal, Leopold expected BigBand to generate more than $100 million in revenues in 2012. (See Arris Closes BigBand Buy.)

  • CableLabs has opened its San Francisco office office, giving the R&D house its first permanent presence on the West Coast. CableLabs will continue to be headquartered in Louisville, Colo., but believes the new digs will help it tap in to the region's tech talent. Comcast Corp. (Nasdaq: CMCSA, CMCSK) SVP of Engineering John Carney, on loan to CableLabs through 2012, is establishing the office; and CableLabs SVP of Technology Development Jean-Francois Mule is leading the office's technical staff. (See CableLabs Set to Open Bay Area Digs .)

  • Sony Corp. (NYSE: SNE), Samsung Electronics Co. Ltd. (Korea: SEC) and Panasonic Corp. (NYSE: PC) are developing a standardized format for active-shutter 3-D glasses that will work across different screens, including TVs, PCs and movie theaters.

  • Premium channel EPIX promoted MTV vet Andy Hunter to the newly created position of GM, digital media applications and products -- which includes apps that let authenticated customers access EPIX programming on phones, tablets, game consoles and connected TVs.

  • Invidi Technologies Corp. scored an addressable advertising patent (U.S. No. 8,065,703) that covers how set-tops and other consumer end-points make ad-placement decisions, reports Multichannel News. Invidi's suing Visible World and Cablevision Systems Corp. (NYSE: CVC) (a Visible World customer) over allegations they are infringing on another patent linked to targeted advertising. (See Invidi Sues Cablevision, Visible World.)

    — Jeff Baumgartner, Site Editor, Light Reading Cable

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