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Netflix To Offer Streaming-Only Service Plans

Posted by ryuzaki0 on from the is-your-connection-that-good dept.

MojoKid writes "Debates are raging as to what the future of movie distribution will look like. There are those who claim that physical discs, like DVDs, Blu-ray, and whatever format will eventually supplant Blu-ray, will always deliver a superior viewing experience versus anything that will be available via streaming. Pundits on the other side of the debate say that as broadband's footprint continues to expand, quality is improving. Interestingly, Netflix CEO Reed Hastings is siding firmly with the latter camp, and it would even appear that Netflix is gearing up to move all of its eggs from the mail-distribution basket to the online streaming basket. Hastings indicated that perhaps as soon as later this year or sometime in 2010, Netflix might start offering online-streaming-only subscription plans beyond just its current Starz plan."

2 of 151 comments (clear)

  1. NetFlix vs Blockbuster by Registered+Coward+v2 · · Score: 3, Interesting

    The real challenge is how do you give users the flexibility to watch multiple movies at the same time or watch without an active internet connection?

    BB advantage is that not only do you get videos by mail but you can return at stores for an instore rental plus 2x month I get free game/video rental coupons. As a result, BB is a better deal since I get about 2x the DVDs at a time, plus a large mail back catalog of stuff not in the store. As a result, I get the latest releases from the B&M and the older stuff by mail. BB has so far leveraged the online/ B&M model quite well with something NetFlix can't match. So for only a few bucks more than NetFlix I get a better deal.

    The challenge I see for NetFlix is dealing with the moves towards bandwidth caps - a movie a night is likely to rapidly push people to the cap; and they are likely to be mad at NetFlix, not their ISP. As a result, I see pressure form larger ISPs, at least, to pressure NetFlix in paying for bandwidth or working out a revenue split where NetFlix is bundled with the service.

    Of course, once WalMart buys NetFlix and RedBox all bets are off for BB. You read it here first.

    --
    I'm a consultant - I convert gibberish into cash-flow.
  2. Re:Support more Systems by at_slashdot · · Score: 3, Interesting

    Netflix doesn't have ads, Hulu has. I moved away from TV to Netflix exactly because of ads.

    --
    "It is our choices, Harry, that show what we truly are, far more than our abilities." -- Prof. Dumbledore