Coinbase Makes Power Move: Acquires Funding Platform Echo in $375M Mega-Deal
Coinbase just dropped $375 million on Echo—and the crypto world is watching.
The Strategic Play
This isn't just another acquisition. Coinbase's grab for Echo positions them squarely in the funding platform space—a move that screams 'expansion' louder than any corporate memo. They're building an ecosystem, not just trading platforms.
Market Impact
Traditional finance firms are probably updating their PowerPoints right about now. When a crypto giant makes a $375 million bet, it's not just spending pocket change—it's signaling where the smart money thinks this industry is headed.
The Bottom Line
While Wall Street bankers debate their next golf outing, Coinbase just bought another piece of the financial future. Sometimes the revolution gets funded one acquisition at a time—even if it costs three-quarters of a billion dollars to make the point.
Netflix deepens AI integration across production and user experience
Netflix’s shareholder letter said machine learning and AI have long powered its recommendation systems, promotional tools, and production pipelines.
But this time, executives called generative AI a “significant opportunity” to reshape everything from ad personalization to film production. “We’re empowering creators with a broad set of GenAI tools to help them achieve their visions and deliver even more impactful titles for members,” the company said.
Netflix shared examples from recent projects. The new film Happy Gilmore 2 used AI to de-age characters, while the upcoming series Billionaires’ Bunker used AI in pre-production to design wardrobes and sets.
During the earnings call, CEO Ted Sarandos said AI will help creators “tell stories better, faster and in new ways,” though it “can’t automatically make you a great storyteller if you’re not.”
Sarandos stressed that the company isn’t worried about AI replacing creativity, saying the focus is on using technology to improve both the artistic process and the viewer experience.
An upstart production studio called Particle6 recently faced massive backlash for its plan to create, design, manage and monetize AI-generated actors and talent, including from the media union SAG-AFTRA.
Netflix adjusts earnings forecast and ad revenue outlook
Revenue for the quarter ending September 30 reached $11.51 billion, up 17% year over year and matching analyst estimates. Earnings per share landed at $5.87, missing the expected $6.97, while net income ROSE to $2.55 billion from $2.36 billion a year earlier.
For the full year, Netflix projected $45.1 billion in revenue, a 16% increase from 2024. But it cut its operating margin forecast to 29%, down from 30%, due to the Brazilian tax impact.
Still, Netflix called the quarter its best ever for ad sales, with co-CEO Greg Peters saying ad revenue is on track to more than double this year.
“Netflix had its best ad sales quarter to date, but still did not provide a figure for how large the ad business is,” said Ross Benes, senior analyst at eMarketer. He added that most growth still seems to come from subscriptions, not ads.
The company also reminded investors that it raised subscription prices in January, including its ad-supported tier, a MOVE that helped offset global production costs and fund new AI tools.
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