Netflix Inc. (Netflix) had surpassed Blockbuster, the previous movie rental leader, before making the successful transition to digital delivery of video content. But despite Netflix's success, in 2017, numerous competitors, including both established, mainstream content producers and digital upstarts, were making it difficult for Netflix to recreate its earlier dominance. Critics pointed to Netflix’s slowing acquisition of subscribers and accelerating debt levels. Netflix's chief executive officer was confronted with disruption from a variety of digital rivals. How should he respond? Should Netflix continue to try to be a content producer, competing with Hollywood’s industry leaders? Should it form a partnership with other media companies to align everyone’s incentives? Perhaps it could move into other media content areas outside of traditional entertainment. Further, there remained the question of how to treat its legacy DVD-by-mail business. As the incumbent firm, Netflix needed to respond to competitors and avoid a fate similar to that of Blockbuster.

The case describes competition in the market for smartphones in the US, and the position of one player, Research in Motion (RIM) who manufacture the popular Blackberry line of products. Early in 2011, RIM is in trouble. Its stock price has plummeted, amidst poor business results, and its future as an independent company is in doubt. A new Chief Executive Officer, Thorsten Heins, must decide how to position the company for the future. The case allows students to understand the strategic dynamics in platform-based industries in general, and to explore more specifically how a firm that led the industry in 2007 could fall to earth so dramatically four years later. The case is based upon data and information from public sources.