Pink's Bottom Line on Media, Money and Sports
New video streaming service, manufacturing prices and the NBA's assist leader
In today’s newsletter, I discuss a new video streaming service, higher prices at the manufacturing level and an unlikely leader in assists in the NBA.
MEDIA: New Streaming Service
Paramount+, a video streaming service from ViacomCBS, will enter a very crowded and competitive video streaming market when it debuts this Thursday.
Paramount+ will replace the existing CBS All Access streaming service, and it will include live news and sports in addition to television programs and movies.
The service will have two monthly subscription options — one with ads, and one without them.
Pink's Bottom Line
While Paramount+ undoubtedly will have a vast array of coveted content for consumers, it will be competing with Netflix, Disney+, Peacock, discovery+ and others.
If Paramount+ does show strong subscriber growth in the next few months, that bodes well for the overall video streaming market.
If, however, Paramount+ doesn’t get significant traction, it could be an indicator that the overall video streaming market might be getting saturated.
MONEY: Manufacturing Sector
The nation’s manufacturing sector remained strong in February, according to the IHS Markit US Manufacturing Purchasing Managers Index (PMI), which was released earlier today.
The IHS Markit PMI registered a level of 58.6 in February — a reading above 50 indicates growth from the previous month. However, that number is below January’s level of 59.2.
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While February’s 58.6 reading is still encouraging for the overall sector, the PMI report also showed that input prices rose significantly last month indicating inflationary pressure at the wholesale level.
Those higher input prices are worth watching closely to see whether they are short term or whether they are the beginning of a longer term uptrend in prices.
Ultimately, higher input prices could lead to inflation at the consumer level, which could create a drag on the overall US economic recovery.
SPORTS: NBA’s Assist Leader
James Harden, who has led the NBA in scoring each of the past three seasons, is leading the NBA in assists this year, averaging nearly 11 a game.
Harden, who was traded to the Brooklyn Nets from the Houston Rockets earlier this season, is part of a dynamic trio of scorers in Brooklyn along with Kevin Durant and Kyrie Irving.
Interestingly, two of Harden’s former teammates, Russell Westbrook, now the Washington Wizards, and Chris Paul, who is currently playing on the Phoenix Suns, are also among the top five in assists per game in the NBA.
Pink's Bottom Line
In any case, Harden has taken on a key role on the Nets as a facilitator, though he can still light up the scoreboard when necessary.
If Harden continues to pass as effectively as he done so far this season, that probably means that the Nets are the team to beat in the Eastern Conference.
That said, the Nets do need to improve their defense if they make it to the NBA Finals as they will likely have to face either the Los Angeles Lakers or the Utah Jazz, probably the two top teams in the league.
Jeremy Pink is currently COO of Geniecast, a leading virtual content and experience company. He is the former CEO of private-equity backed Broadcast Sports International where he helped lead the company to a successful sale and exit during his tenure there. He is also a former CNBC television executive in New York, London and Singapore.
The information contained in this communication is strictly for general informational and entertainment purposes and is not meant to be construed as financial, investment, tax, or legal advice. This communication is not a solicitation to buy or sell any securities. I am not a financial advisor or offering professional advice of any kind. Users should not act upon the content or information found within this communication without first seeking professional advice appropriate for their individual situation. Decisions based on information contained in this communication are the sole responsibility of the user, and use of this communication and its contents constitutes an explicit understanding and acceptance of the foregoing disclaimers.
(Newsletter Editor: Karina Pink)