CHICAGO Netflix Inc.’s latest domestic streaming subscriber forecast, which fell short of many analysts’ expectations, probably reflects increased competition in the online video space, an analyst said Tuesday following the company’s release of third-quarter results. “I continue to believe that increasing competition and ubiquitous content will drive consumers to look at other options,” said Eric Wold, an analyst at B. Riley & Co., in an e-mail. He added that the company has at least $ 5 billion committed to content acquisition, and is likely to spend an increasing amount of money on original programming. Such costs pose “a risk to the entire business model,” he remarked. After the market closed Tuesday, Netflix said it now expects to end 2012 with 26.4 million to 27.1 million streaming subscribers, representing a gain of between 4.7 million and 5.4 million customers for the year. Previously, Netflix had said it could achieve a full-year gain of 7 million, but only if it could hit the high end of expectations.
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