larry, what do you make of the netflix ability to take that kind of risk? he fact that we are talking about it right now on tv goes to the point of they are proving that anything can happen on netflix. people are talking about it and i think it is drawing a lot of people to the show. it is something you would not typically see on broadcast television, for sure. >> why wouldn't we see it on broadcast television? is there something about the format or is it simply the netflix willingness to be a bit bolder? >> on broadcast tv, if you have a big star, you will use that talent to bring your audience back in week after week. if you lose a big star, it might hurt your ability to use them to market. netflix is saying that we are going to take creative risks and do what we want creatively. i think we have seen something similar. this past season of "game of thrones," there were some real shockers in terms of beloved characters being killed off on the show. that got people talking and got the social media machine churned up and brought people to the show. >> i was go

as a platform and the process of your film finding a home on netflix. rough the process. >> we open the final cut at the toronto film testable. we were honored to have a lot of offers. we decided to go with netflix. we saw that they would reach the hearts and minds of the widest and most diverse audience possible. the fact that it would be released online in 47 countries simultaneously, the fact that most people can afford netflix, we did our own little survey. what we found is that many people have netflix. it has a low. that was important to us. the second part is what is happening right now as we speak. there are situations happening on the ground. the situation in egypt is still unfolding. we want people to be able to connect online immediately afterwards and to affect the conversation that is happening on the ground. that has been amazing. >> and i know that was a fact for you in the filmmaking process. these were continuing to unfold. you had to go back and fill more. what do you think about the message that if you have a good night on oscar night

and comcast have been negotiating for a long time the idea that netflix is traffic is anywhere from ten to thirty percent depending on who you believe of all the bam with that travels over comcast network and yet netflix this paying the same amount to push that traffic into comcast network zero dollars and zero cents that any other random web site on the internet is and so comcast is seeking sort of a tariff pay for all that excess capacity that netflix is using and of course they're going after netflix because they're a competitor directly to comcast for the first time in history two thousand and twelve in two thousand and thirteen sol net cable subscribers in the united states shrink that has never happened before and it's now a worrying trend for these cable companies they can only keep their revenues up by increasing the price per household they're able to charge so netflix is a threat and getting some of netflix is revenues the big deal for comcast netflix on the other hand doesn't want to be paying these tariffs so the best thing it could do is agree

original content is the next battle. netflixained more than just subscribers from "house of cards." anticipation is running high ahead of season number two. all 13 episodes will be available friday. >> amazon is now in the carriage of streaming video. they are making deals with production companies and movie studios to gain rights to stream shows and film. amazon dipped in last year. they did it with a twist, releasing pilot episodes and relying on feedback. "the after", is among a batch of pilots. it's a sci-fi trauma from the "x files" creator. they are testing 10 different shows, all available for fewers to critique. marcus said the competitive match up is odd in that they both bring different parks to viewers. marcus is a staff writer, covering netflix and amazon and how their services are changing media. >> tell us about the odd cities of the battle. >> both are different the netflix made a splash when it decided to release all the episodes of one show. amazon's model is crowd sourced. they put out one episode, and wait for

netflix. has spikedith amazon the growth that netflix was looking for in the u.k.owth internationally -- they need that money for content acquisition. >> the other problem is that in the u.k. and europe, paid television market is not as built out as it is in the united states. it is more palatable for everyone over there for the streaming services. >> isn't netflix still winning the game here? doesn't amazon still have a lot of catching up to do? >> the thing that amazon will soon have is a set top box. that is part of the problem that netflix has right now. short of them having their own set top ox, the need to work out these deals with everyone else. not see a netflix app on an amazon set top box. you have to figure that will be a negotiation. >> there is another thing missing from the netflix negotiation. it is called prophets. their content costs are going through the roof. have off-balance sheet liabilities approaching $10 billion over the next three years for content. motheron is not making -- money either. >> it is profitable because it is part of the amazon

about how you know this original content has influenced the netflix business? re the numbers telling us? >> they have something that they can immediately point to and say this will help our subscriber numbers. he got a built in audience. you have got the traffic that tells us people are watching the show. it is a different place than when epochs was before to see if originals would work. they are using this as a way to boost the subscriber numbers. there is a tangible tie back to the financials. i think there is also a question of the idea of "house of cards" as a movie. how many times have you heard people say it is like watching a 12 hour movie? you almost wonder whether it should be "house of cards" and netflix versus additional tv, but versus the movie industry? is a potential for movies to be distributed in a way that is similar to the way you have "house of cards" as a way to keep people interested? at the end of the day, it is a fight for the time. all of these players and entertainment are vying for the same hours you have got in the day. >> kevin spacey

the teslas, the facebooks, the netflix, twitter and that huge gain that it had after its upo last year? does that remind you of another time, maybe the 1990s? are we getting frothy in the sector right now, do you think? >> i think, bill, that's a great observation. and i think janet yellen was asked the question are we seeing speculation in the different asset classes, particularly in equities. and i think she's pretty much said or implied that no, broadly speaking we're not seeing a level of speculation or euphoria in the markets themselves. but there's clearly pockets of the market, you mention them, tesla, for example, where you have extreme problems -- i have extreme problems with high valuations. and it does remind me of the late 1990s when we ran into problems. it's not in my view widespread enough yet to be overly concerned about it. but fed's going to watch it. i'm going to watch it. and every investor should watch it. if it starts to broaden out and we get significant overvaluation, significant optimism in the markets, that's usually going to be a signal to reduce your exposur

>> i think netflix customers may be wondering if the bill they pay for netflix goes up. 's a very real possibility of that raises the possibility of why would netflix do that? i would say because they saw it as inevitable. people talk about how much they are streaming through netflix and maybe it's not fair. they did it because comcast was trying to buy time warner cable. they will need approval for that. they cut the deal is netflix come we're going to give them good service and we do compete with them and i think that's why this comes together right now despite the fact that it could mean higher bills. >> netflix costs do not go down. is upinsane the stock today because netflix cost went way up today. we will see how this plays out, given that i am such a big house of cards fan. have a talk with our reporter who just interviewed mark zuckerberg and we will talk to him next. ♪ >> welcome back to "lumbered west ergo i want to get straight to barcelona where david kirkpatrick just finished interviewing mark zuckerberg. a fascinating conversation, watching you there on stag

we will talk more about how the netflix series has a high risk profile fans in washington coming up. ♪ >> welcome back to "bloomberg west." i am emily chang. the time warner cable and comcast have raised a lot of questions about media companies and the ability to negotiate higher fees. the leader of lifestyle television home to popular networks like hgtv reported earnings today. jon erlichman has more from l.a. >> there was this immediate reaction. what does this mean for time warner cable on comcast getting together? a lot of the bigger players seem to be feeling ok about everything. ken lowe joins us now. i would love to get your take as an observer of everything going on on those two companies getting together outside of what it ultimately means for your business. >> good day. it is always a pleasure to be with you. yes, you're right. our industry always seems to have something interesting going on in the distribution landscape. announcement yesterday was nothing unusual. as far as the cable industry, we have been in this for about 20 years, there has a was been consolidation. ther

and here's what's coming up tonight on the big picture the comcast netflix streaming deal is just the latest sign that the internet as an information commons is on the ropes so why isn't anyone in the mainstream media talking about this more on that in just a moment also the twenty fourteen midterm elections are still nine months away but a republican senate looks like more and more of a possibility every day but could medicaid expansion keep the summit in democratic hands and new research suggests that if we don't start tackling climate change right away it could be game over for civilization in just a few generations more on that in tonight's daily take. you need to know this the fix is in and unless we do something quick the internet as we know it will disappear for good on sunday comcast and netflix announced that they had reached a deal that will give netflix direct access to comcast. been network until now and netflix has only been able to send its content to homeowners and into users by using middlemen companies like cogent which in internet. is known as a backbone backbone pro

with this deal netflix and comcast will cut out the middleman. netflix paying comcast to direct it. it's a valuable partnership between the nation's largest internet provider about to become much larger and streaming video netflix. >> you have a company that represents 1/3rd of the traffic on the internet strike a deal with a company that represents as much as 1/3rd of the internet subscribers. >> reporter: youtube have similar arrangements to work directly with internet providers, but this is the first time a content company like netflix paid an internet provider like comcast directly. that doesn't mean netflix will face higher cost, it's just paying a different company. up until now, netflix paid other companies to deliver data. one of those companies, kogent. verizon ceo mcadams saying on cnbc monday morning he's in talks with netflix and expects to close a similar deal. >> the commercial model i think will work well. to me, that shows that you don't necessarily need a lot of regulation in a dynamic market here by doing these commercial deals and we'll get good investments and ret

liz: "clash of the titans." netflixband providers and the feud means many customers are seeing so-called spinning wheel of death on their screens. you hate that, right? who is to blame? how is it going to be fixed? could it be "back to the future" of lovers of the old concord passenger jet? plans for a new supersonic jet to cut travel time in half and give passengers a panoramic view as it rockets through the sky. we'll have details on that next. ♪ [ male announcer ] legalzoom has helped start over 1 million businesses. if you have a buness idea, we have a personalized legal solution that'sight for you. wi easy step-by-step guidance, we're here to help y turn your dream into a reali. start your business today with legalzoom. liz: if you are one of those people looking to bing watch "house of cards" this weekend, you said you were going to. david: i did. liz: instead you may have bottom that dreaded word, buffering. you're not alone. david: the company says average download speeds fell by 14% particularly on verizon netw

the person with the bull's-eye is now on netflix. ots are going to start coming. >> thank you both. more after this quick break. ♪ >> we focus on technology and the future of business. disney and dish network are close to a deal to settle litigation over dish's ad skipping technology. the deal could include compensation to disney for subscribers who skip commercials. dish is also involved in legal fights with cbs and fox. is sold out to new york city ahead of the olive -- olympics. they are working overtime to add capacity. the supreme court has even agreed to hear the case. twitter is buying 900 patents from ibm. terms were not disclosed. the deal resolves a patent dispute after ibm warned of possible infringement of at least three patents. twitter had nine patents and 95 pending patents when it went public in november, a low number for a top tech company. online storage company box secretly filed for an ipo, beating larger rival dropbox to he -- the punch. dropbox has raised another $200 million in vc funding. what is next in the ba

>> at the end of the day, netflix clearly did a 180. the third quarter conference call, they said they didn't think -- they thought interchange should be free, both sides were getting equal value and they shouldn't have to do it. i think this is a recognition that there is a benefit to the size and scale of comcast to get paid for this. i'm not sure anybody else is actually going to get paid for this. there may be a couple of others but not everybody will get paid. >> if that's true, doesn't that say something about size and scale? >> sure. size and scale matters in lots of industries. there's a benefit to comcast being bigger. i don't think anyone would deny that. this is yet another benefit of size and scale. one other really important part to this that's really important to get across to viewers. i think comcast as part of this gave netflix access into being integrated into its new boxes. xfinity users will see this. >> netflix prices will go up or down. >> netflix prices over time are going up regardless of this. >> we appreciate you

the ceo is with us live. is your netflix doing this? is it could be due to a standoff between the streaming movie service and internet providers and guess who is stuck in the middle. we break down what it means for the investors and consumers. "countdown to the closing bell" starts now. >> the economy can go to heck and handbasket but don't slow down our netflix. liz claman, the last hour of trading. the federal reserve was pretty firm on tapering large-scale bond purchases, now we know from the just released minutes, the policy meeting, participants discussed the possibility of tightening or raising interest rates. that is unlikely to happen before 2015 but the minutes show the issue is on the fed agenda. any rate hike depend on the progress of the economy but all of that was trumped earlier than what the fed minutes were released by atlanta fed president dennis lockhart who was speaking today and mentioned that point. you can see where it happened, right around 11:00 a.m. because they said he mentioned race might be tightened and he sa

first up we look into the matter and magnitude of a deal reached between netflix and comcast over the weekend netflix has decided to pony up to the cable provider but who really ends up paying in the long run we'll let you know then we had best sign off their international investor entrepreneur and chairman of p.c. research doug casey on today's show i sat down with mr casey to talk economic volatility and the global marketplace you won't want to miss our interview and finally a sun kissed edward harrison is back and he joins me to discuss avenel next in today's big deal and the risk it might have of stalling out it's all coming up so let's get to. our lead story today net neutrality or lack thereof so what is net neutrality well with the pedia defines it as the principle that internet service providers and governments should treat all data on the internet equally not discriminating or charging differently by user content so platform application type of attached equipment and modes of communication. now in a landmark deal this past weekend comcast and netflix announced that they've re

the bottom line for netflix is subscribers. d what they have achieved with both of these shows, they have created content that you can't get anywhere else, and you can see in the growth of their subscriber base, it correlates to these shows coming out and the acclaim that has surrounded them, and it really seems that all it takes is -- is one hit to -- to generate that kind of buzz, that attention, and that attraction. i -- i say it's analogous to the sopranos for hbo. people will subscribe for that alone. >> younger viewers want flexibility, and want to watch when they want to. how much does it again rally cost? is that part of the model that makes amazon and netflix so intriguing? >> not only that, you are paying a lot less than you would pay for, i think even basic cable, and you are also getting immediate easy access on every screen that you own, your phone, your tablet, your regular tv through something like aroku, so it's so far ahead of traditional cable in terms of meeting people where they want to watch when they want t

the cable t.v. business model and netflix to. we see this coming and we will pay in advance to be channel number one and pretty soon google is going to pay to be channel over two for you two and who is going to pay to be channel over three or so and in fact we don't really know if google may already be paying you know these deals are so secretive that consumers don't have a lot of information and the important thing to remember is that all of us are already paying our fifty sixty seventy dollars a month so we can get netflix that's why we pay comcast right anywhere as in france is thirty five bucks a month much less pay him for it and comcast is now saying well great because there's no competition because you have nowhere else to go instead of responding to you as a customer and say hey we're going to invest in our networks because you want your netflix to work better they've said well you don't have a choice so let's go see if we can extract some more money from the netflix is of the world and that's what they're doing i think n

i'll tell you why the streaming deal when netflix and comcast could cost you money. also a modern day dust bowl in west texas where a generation cotton farmer tells us why prices are falling and the rain never does. i'm ali velshi, and this is "real money." ♪ >>> this is "real money," you are the most important part of the show, i'll explain this in a minute. join our live conversation in the next half hour, and if you are facebook fan on our facebook page. comcast has announceded something called an interconnect agreement with netflix. it gives the online video giant a direct connection to comcast. it promises to give comcast customers faster treatment of netflix video content including "house of cards," and a whole host of other programs. now this is a big deal. because netflix is big. it has 30 million subscribers across america. an estimated 30% of downstream internet traffic in the united states is taken up by netflix video streaming during peak hours on some days, and streaming video takes up a lot of band width in pipes not designed for it. increasingly it is a

the amazon deal. they have been a great partner. less of a partner relationship with netflix. t because they're not a great company, but the netbooks model doesn't work quite as well as amazon does as far as downloading our content. going forward, we are open to all distribution partners. at the end of the day, we are on thech row active cable and satellite distribution model and dual revenue streams. it has served us so well. back to the advertising aspect, a cousin we deliver an upscale audience that is highly engaged, it is a hallmark for their advertisers to do business with us. we are about establishing. we're about getting into as many homes as they can. you think this streaming model -- we think the streaming model is not a major play for us in the coming years. >> before we go, there were reports recently about discovery being interested in acquiring scripps. know you love s cripps. would you ever be interested in selling or listing it? >> i would expect you to ask that question. a get that question quite bit. we have no comment there. we have great brands. we have a gr

the amazon partnership? will that be a long-term partnership? is netflix a long-term partner? ould we think about streaming deals that scripps cuts? >> when you go back to the amount of live programming that we do, there's probably less of an opportunity for cable networks like ours in those types of streaming deals. we have been very pleased with the amazon deal. they have been a great partner. less of ad partnership relationship with netflix. does not workdel quite as well as amazon does, as far as downloading our content. going forward, we're are open to all distribution partners. at the end of the day, we are very much proactive on the cable and satellite distribution model, dual revenue streams. it served us in our company so well. back to the advertising aspect, because we deliver an upscale audience that is highly engaged, it is a hallmark for the advertisers that do business with us. we are about distribution, getting in as many homes as we can. we think the streaming model, while important, is not a major play for us in the coming years. go, there were reports recently

but the lifestyle portion of this, because we have the technology and netflix has the business model in how to do it, people, it's changing way they watch tv. howie, this goes back to 1948 when prime time network television started. and somebody in rockefeller center said we're going to give you one episode a week. now that's blown up. >> we all grew up on that. but now netflix says 16% of its 30 million subscribers have watched at least one episode on this first weekend. that's impressive. with all the things i read about this, is this as big in georgia as it is in georgetown? >> nothing is as big in georgia as it is in georgetown. the media is in georgetown, absolutely. >> so why does this show get so much press? is it because the media elite all love it? is it because it's become a stand-in for people? >> i think that's part of it. it's got politics and it's got media. but the other reason, let's not be totally cynical. the other reason, this is outstanding drama. kevin spacey is superb in this lead role and he's at the top of his game. this is really a great compelling narrative.

and comcast where netflix has realized the qualityf its audit has deteriorated a bit and it has decided for better access to rectally into your system, we are going to pay you money directly incident a third party, which is what netflix has been paying. it could be 25 million or 50 million a year. shinier,x paying for a faster, newer pipe. >> this would extend to all internet service providers. >> what do you think about this? fax consumers have a lot of reason to be concerned. the are in the dark on what terms of this deal are and most of us who are subscribers. we were paying to get netflix at a good throughput, if you will. that's why we have been paying 80 or $90 a month and now the lousy service we have been getting is may be a negotiating tactic question mark this is the reason the fcc needs to be paying attention to these deals and providing transparency so consumers know are they really getting what they are paying for? >> are consumers getting what they pay for? what is your thought? >> this is better for consumers. the probl

, jonng us now for more erlichman can take the netflix and apple tv side, but first, netflix trying to warner cable, they are nice right now? >> probably. but not as much because comcast is necessarily taken the idea as much as the various different parts of the regulatory process needs to go forward in this deal and it is likely any sort of big move like that that time warner cable would have done on its own is probably halted. that has to do with time warner cable's management decision as much as comcast. that said, no doubt these two companies have had different strategies when it comes to netflix or apple tv or other products that potentially could compete with the cable products. the main difference is that time warner cable has been very willing to be open to the idea of other companies coming in and melding with their product. apple tvwords, if wants to study user interface for time warner customers, time warner says we are fine with that because they are better at that. has been a little bit more closed. they are a little bit more wary about letting the intruders into the gates

the content. and we are seeing that netflix along is 32% of internet traffic. >> really? >> 32%. rprised. i would have thought porn. you know what i mean. seriously. all the neutrality, the case is connected, right? >> yeah. yeah. yeah. the federal government, the ftc, wants to say, hey, you can't charge different rates to different people, right? you can't say, hey, netflix, you got to pay more, people who use netflix to use these pipes. but i got to tell you, everybody is angry about this, right? because consumers they can want what they want and they want to get it now, absolutely and they don't want to pay more, hey, it's been on our backs. so, now we see the service declining, we want to know who to blame. and i got to tell you, we need help. here's what verizon said u >> we always pay. >> i'm going to be fair and balanced and give you verizon. one party is getting all the benefit and the other is carrying all the cost, issues will arise. >> make any money. a few billion dollars. >> they have their heel. we own those pipes. we want part of that pipe -- >> you eat while watchi

deal netflix and comcast will cut out the middleman. stablish a direct connection to the internet provider improving the infrastructure to make data transmission more efficient. a valuable partnership between the nation's largest internet provider about to become much larger and the streaming video company which can account for as much as one-third of all u.s. internet traffic. now, although there are similar arrangements between similar streaming giants like youtube and hulu, this is the first time a content company like netflix has paid an internet provider like comcast directly. but this deal should not raise netflix's costs in any meaningful way. until now netflix has been paying intermediaries to help deliver that data. those are intermediaries like cogent whose stock is suffering today on the news and analyst downgrade about the deal and other deals that could follow. as for what's next, this morning on cnbc verizon ceo loul mcadam said it is in talks with netflix about a similar deal calling the agreement positive for the whole in

the second front page story could be a landmark deal. netflix agrees for more direct comcast broadcast network. we do not know the amount of the deal. millions of dollars per year is what we're hearing. and make surepeed viewers can watch the latest season of house of cards without an eruption -- interruption. gethey're paying money to this. >> this has been widely predicted we would get to this point. craig moffett i think. >> you wonder what this means in terms of net neutrality going forward. >> in other words, a disadvantage? >> i must say my goal is to understand what net neutrality means. >> third -- front-page story. mobile congress gets underway in barcelona. a lot of products being unveiled. samsung botching the next-generation smart watch. a smart bracelet as well. apple everyone is waiting for some kind of watch later on that could come out later this year maybe next. >> this is like las vegas but in barcelona? >> this gets a lot of people excited. talking about the kind of economy it generates, to. giving a keynote address as well. t

tavis: we will see you in the final season on netflix this summer, and "robocop" will be every worst ing jewel kinnaman. the journey and the ride continues. i hope you enjoy it. >> it was nice being here. next, joying up bryant. it is remake night. stay with us. ♪ joy bryant is making something of a career these days exploring the give-and-take of relationships in the nbc series "parenthood." she plays a wife who put her career on the back burner to raise children. and in the new movie she plays a woman who meets a man who may make her change her mind. "about last night" also stars kevin hart and regina hall. >> we didn't. >> yes, you worried about how she was going to take it. >> i said because i am the one with her i see her upset all the time. hey, i am moving out. no. >> yes. >> i'm moving out the end of the month. ok? me, i wouldmad at tell him to stay. >> what are we talking about? >> no rush. dirty days?h has >> 31. -- butt make it running around the house. tavis: i am all for a good remake. i am all for putting a different spin on old projects. use of the first iteration of th

netflix is big. it has 30 million subscribers across america. an estimated 30% of downstream internet traffic in thenited states is taken up by netflix video streaming during peak hours on some days, and streaming video takes up a lot of band width in pipes not designed for it. increasingly it is about video, and video clogs up the pipes. so netflix needs to make sure its streams reach its subscribers quickly. to ensure delivery of the content, theying want to cut out the middleman and do business directly with internet providers like comcast. verizon converts it is also in talks with net flex for its fios program. all this means is that consumers will pay more for the service in the end. it's not clear if net flex is pay more to complex, but the internet's net neutrality is now under attack. patricia sabga has the report. >> reporter: now that net flex has direct access this comcast broadband pipes, it looks forward to fast streaming. but advocate of a open internet are worried consumers could end up on the wrong end of the deal. >> i find in the end, consumers always end up paying. so eventually w

the entire second season of "house of cards" now available on netflix. impact of the storms having on retail. the a par real company wf corp. responsible for north face and timberland is -- vf, forgive me, it's vf corp. which is responsible for timberland and nautica missed estimates this morning. the rough weather helping the north face and timberland brand see double digit gains but the jeanswear division missing. here's on the cnbc news line an exclusive interview now fresh off the conference call with erik wiseman, chairman, president, and ceo of vf corp. erik, good morning to you. what's working well for you at the moment before we we get into the softer areas? >> thanks for having vf back on the show. you know, we just reported a really strong fourth quarter. we grew our revenues 8% and our earnings 13% in the third quarter. and if you look around the apparel and footwear industry there aren't a lot of companies performing at that level. we're thrilled with the performance. it was driven by our outdoor and action sports businesses. three biggest bra

welcome to the war room netflix style. e men and women on their laptops and ipads are responsible for streaming out the hottest show in the world right now to 44 million people in 41 countries. >> tonight is a really exciting night for us. >> reporter: "house of cards" season two, so big president obama tweeted about it. a 13 episode merger that one year ago seemed like a crazy idea. >> will this work out? are we creepy for doing that? it worked out well and what people expect nowadays. >> reporter: with the countdown to season two on, everyone here was checking the feed, but no one was doubting the success of the company's all you can watch model. >> they know exactly how their viewers want to watch their shows, and they are giving them exactly what they want. my guess is they are going to be "house of cards" parties. >> reporter: when midnight hit at netflix headquarters and the streaming started all over the world, concern gave way to a party. [ applause ] >> so when you think about "house of cards," you can think about

the series has been a huge win for netflix. what is the creator have planned to stay in the winners circle? >> you want to talk what you did with season one. all the episodes on one day or releasing it onto the internet is not there. it is just the story itself. it motivated us to expand the scope of the series, to deepen our exploration of characters, and challenge ourselves to do better than we did before. the first season, netflix released every episode of the dark political drama all at once encouraging binge watchers, including phil mattingly. here he is for the 3:00 a.m. premier sitting with his great dane. he spoke with real-life d.c. lawmakers about how realistic the show is. upcapitol hill staffers were watching. that is how highly anticipated the release was. government was closed until 10:00 a.m. this morning, so a couple more hours to catch up on episodes. >> the only unrealistic thing about the show is that a democrat to represent south carolina. that will never happen. it is great acting. >> kevin spacey makes it l

in the first few episodes of the netflix show, lawmakers actually passed a controversial reform. e retirement age to 68. in the show, democrats have to do it on their own after republicans walk away right before a key vote. and here's the point here, the democrats do it on their own. >> now, this would be a good time for a frank underwood-like aside. please understand, regardless of the merits, it would be significant and very politically risky thing to do. >> order in the senate. >> you don't see president obama or vice president biden making such a big policy move, despite the claim that they make a political dancing partner. in fact, this week, in real-life washington, the obama administration cpi and consumer price index to the budget proposal. it's a change in the inflation formula. it's a cost of living increase and once on the table now, off the table would not slow the growth in social security spending as much as the house of cards idea. it would slow growth. president obama recently expressed envy at frank underwood's ability to get things done in washington. the ways of

. >> that's exciting to see the kind of muscle that netflix has put behind the film and the kindion they've given to it. it's exciting and ground breaking. >> the director says netflix has really done so much for documentaries because, of course, so many of us started watching them once we could find them on a place like netflix. guys, back to you. >> jane wells, thank you very much. appreciate it. well, if you have not heard of the show "house of cards" you're either living under a rock or west of here. it's gotten all the buzz but is the show really as big as we think? joining us, the atlantaic's derek thompson. love the piece about this. basically you sort of dug into the numbers as you know them. what are your conclusions? >> you have this broadband analytics company which looked at exactly how many of netflix's subscribers were watching the show. they estimated 6% to 10%. 10% of the 30 million people who subscribe to netflix in america, just under 30 million, that's about 3 million people watching "house of cards" in its first weekend. 3 million sounds like a pretty impressi

here's the problem for netflix. here's the problem for netflix users.nly has about $1 billion in cash. it spends $3 billion on content. if it's going to have to pay companies like comcast to get those speed bumps out of the way, it's going to have to shell out more money to other cable providers to make sure it's streaming videos cleanly. >> does anybody think maybe they're ahead of the curve because people are going to netflix and companies like that to watch entertainment? >> yeah, there's no question about it. i'm on netflix all the time. in fact, i was on it last night. it actually did slow down. i'm seeing that. but that's where things are going. money is going to find, you know, where the next advancement is. so we are watching more and more online, and the quality has to get better. if they're going to pass that price along, you know what, they're going to pass it along. i will pay for it if i need to. >> do you think people will pay for it? >> it's only five years ago netflix had the streaming service as sort of an add-on to its dvd service. in

with the latest launch is a buy or sell? netflixole to justify the multiple >> what i'd like it is no longer just a video streaming company of lot of companies that search for gold elsewhere they hit gold with their own backyard with content that people wanted and can get anywhere else for coming have done this a couple times they are redefining themselves for content as a stockholder that can be attractive..3 keep in mind it is fairly high right now depending you they can reinvent themselves to add the other packages with existing technology this could be a stop to keep a close eye on. neil: the argument with netflix you could find any serious said any time but now they seem to be preachy out to more original programming for taking baby -- maybe this is the cash cow? >> it won't keep them in cash but the problem is particularly with this deal will cost the bow lot. fadeout decided in the fall the bid made the deal with pixar innovation and -- animation to cost $300 million per year that is 3.six additionallbillion subscribers they

plus the deal between comcast and netflix created buzz over the weekend.roundtable is going to debate what it means for your next viewing. and it is monday. my producers will once again try to stump me tonight with tonight's mystery guest. all that and more over the next hour. first headlines from my radio co-haas carol massar. >> 10%, 178 billion. it also offered to further increase the price if the bank agrees to terminate a separate deal to buy eddie bauer. the offer expires march 12. president obama telling governors today that a decision over whether to approve the keystone pipeline probably will be made within a couple of months. transcanada applied more than five years ago for permits to build the $5.4 billion pipeline through the united states heartland. facebook's mark zuckerburg speaking today in barcelona. he is looking three or seeking three to five phone companies as partners in an effort to connect billions of people to the internet that don't yet have access. pimm, these are your top headlines at this hour. back to you. >> to other news. , e