Netflix has surpassed Comcast in market value after decades of tailing the telecom giant.

Why it matters: Netflix's rise speaks to the power of on-demand video, which is its core product. Comcast's core product is Pay-TV subscriptions for live, commercial-driven programming. Data shows that the modern consumer is abandoning commercials and live TV.

Netflix's market capitalization rose to roughly $149 billion, surpassing Comcast's market value of $147 billion Wednesday. Shares for the streaming company have been on the up since it announced a multi-year production deal with Barack and Michelle Obama.

Between the lines: As Comcast's Pay-TV business wanes (it lost 95,000 sable customers in Q1 alone,) it's looking to invest in new revenue streams to offset the loss.

• Comcast's' biggest opportunity is in content, as it already owns entertainment giant NBCUniversal, and could use an expand content library to better compete with Netflix for eyeballs and revenue.
• The company announced Wednesday morning that it's preparing an all-cash bid for 21st Century Fox's entertainment assets, in an effort to potentially build an on-demand entertainment business that could compete with Netflix.