On a day when Wall Street shares were not at their best, streaming video services provider Netflix, Inc.(NASDAQ:NFLX) was a bright spot gaining as much as $1.3 on fresh hopes that the company was able to take on its competition and maintain its leadership status.
In fact investors are anticipating that the company will attract a good takeover bid.
According to the Associated Press, research group Sandvine, put out a report on Wednesday which measured the usage of Internet services and found that the library of movies and old television shows available with Netflix were popular with web surfers.
Netflix now has competition from other companies such as Amazon and Hulu.
The analyses by Sandvine showed that about one-third of videos downloaded in North America were from Netflix with Google's YouTube following a distant second at 15 percent.
Amazon.com accounted for less than 2 percent of the peak usage, and two other major Netflix rivals — Hulu.com and HBO's online service, Go — were even farther behind, according to Sandvine.
Despite price increase undertaken by Netflix last year, which angered subscribers, the company still managed to be popular and its share had not diminished inspite of the competition.
"Even in the face of increased competition ... Netflix continues to define the market for long-duration video streaming in North America," Sandvine said in its report.
There is also a lot of speculation that has crept into the market about Netflix being a potential takeover target. Wall Street feels that Amazon, which also provides a similar service under Amazon Prime, is the most likely candidate to acquire Netflix as it looks to ramp up its services.