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But according to Time Warner, most of those subscriber gains for HBO and Cinemax in the U.S. were not ârevenue-producing,â meaning the pay-TV affiliates kept 100% of the fees from subscribers for those services. As of the third quarter, HBO had 29.2 million U.S subs and Cinemax had 13.6 million, according to SNL Kagan.
Netflix launched its Internet-based subscription service in 1999 and signed up 239,000 movie lovers in the first year. Today it has nearly four million subscribers who choose from 50,000 titles. The company, which went public in 2002, expects to report $687 million in revenue for 2005.