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Netflix Dominates North American Internet

nairnr writes "Accounting for 29.7% of all information downloaded during peak usage hours by North American broadband-connected households in March, Netflix Inc. received the title in the latest Global Internet Phenomena Report released by Sandvine Corp. on Tuesday. In its ninth such report, Waterloo, Ont.-based Sandvine found the amount of data consumed by users streaming television shows and movies from Netflix's online service exceeded even that of peer-to-peer (P2P) file sharing technology BitTorrent."

45 of 301 comments (clear)

  1. Netflix by x*yy*x · · Score: 4, Funny

    Since Netflix uses almost 30% of the whole North American traffic during peak hours, they should really improve their technology. Most of the traffic is in peak hours. Instead of sending individual streams over the internet to every customer, they could develop some kind of protocol which could be used to broadcast all the streams to everyone at the same time. To make sure they don't clog the existing internet lines, they should lay down their own lines. Then they have full control over the infrastructure too. Broadcasting so many different streams probably doesn't work, so Netflix could instead start showing specific programs at certain times and people would tune in at those times to watch their favorite shows. For example once a week Netflix would show episode of every tv show and maybe movies at certain times and days. Since they own the infrastructure too, Netflix could stop worrying about all the different devices and just sell a product you put in your living room and use it to watch Netflix.

    1. Re:Netflix by hal2814 · · Score: 4, Insightful

      I like where you're going with that. Only instead of running over the internet, why not set up broadcast towers all over the country to beam the data straight to stand-alone computer monitors with built-in tuners?

    2. Re:Netflix by dgatwood · · Score: 3, Interesting

      To be fair, there's no reason you couldn't use a staggered broadcast approach for Netflix and get the same user experience if you did it right.

      • When a user requests a movie, begin streaming the content from the beginning.
      • Simultaneously add the user to the most recent multicast group for that movie.
      • When the per-user stream catches up with the point at which the user's machine joined the multicast stream, you no longer need to stream data to that user because the user has all of the data from that point in the stream all the way up to the current point in the multicast stream.
      • At the end of the transfer, the client could then re-fetch any missing chunks.

      Such an approach would dramatically reduce the traffic overhead, at the expense of a little additional code running on the user's machine.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    3. Re:Netflix by rtaylor · · Score: 2

      And, instead of charging each individual household make the feed free and ask the government to charge a flat-rate fee for each household.

      --
      Rod Taylor
    4. Re:Netflix by Looshi · · Score: 2

      This is why we need a "-1: Woosh" mod...

    5. Re:Netflix by 228e2 · · Score: 2

      Aye . . . I havent seen a whoosh like that since the Great Whooshing of 2002 . . . those were the times . . . .

      --
      Since when does being a Socialist mean 'someone who has a different opinion than me'?
    6. Re:Netflix by cayenne8 · · Score: 2
      I recently got a decent TV (Samsung 59" plasma) and have been enjoying watching a lot of content lately.

      I'd bought a PS3 for Xmas to have a 3D bluray player that also streamed Netflix (I may learn to game soon too).

      I've found, however that my initial high consumption of Netflix streaming content has really dropped, and much of that was...the lack of shows I really want to watch available for streaming!!

      I mean, the choice of movies seems to largely be...crap I'd never have wanted to watch if the DVD was given to me.

      I have a 3 movie out at a time Netflix account..have had since about a year after they started business ( I was just a week or so shy of the 4 out at at time they initially started with)....so I have a full queue of titles. It just seems that there aren't THAT many of them available for streaming.

      Until they are allowed to stream about anything they have to offer....I dunno..I'll stream every couple weeks when it looks like they may offer some new titles.

      Also...with the new big tv...the quality of the rented physical bluray vs the compressed streaming content...shows sometimes.

      I just signed up for Uverse....and have been watching that a lot lately for my content 'surfing' moods....

      Until netflix starts to up the number of quality titles they have for streaming...my use of it will likely continue to decline. That and they changed the user interface to be a LOT less easy to scan and search for streaming title available. I wish they'd just have a menu drop down for genre...let me select that and then display all that's available....

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    7. Re:Netflix by Capt.DrumkenBum · · Score: 2

      Or you could add some advertizing.

      I am going to run out and patent this great idea.

      --
      If I were God, wouldn't I protect my churches from acts of me?
    8. Re:Netflix by Creepy · · Score: 2

      Where I've found streaming really shines is with kids that consume the same 8 shows hundreds of times. I think I've pulled up Shawn the Sheep about that when my niece and nephew are over (or when my other niece and nephew are over)...

  2. Field of Screams by OverlordQ · · Score: 2

    If you build it, they will pay.

    (Screaming is for the media conglomerates)

    --
    Your hair look like poop, Bob! - Wanker.
    1. Re:Field of Screams by sl3xd · · Score: 4, Insightful

      +1 to this.

      Give people what they want at a price they're willing to pay. Everything is worth exactly what it's purchaser is willing to pay - and no more.

      The media companies seem to forget that they've raised the prices to the point that purchasers are not willing to pay. Their customers are going to get the media in any case; it's just a question of whether it's paid for.

      --
      -- Sometimes you have to turn the lights off in order to see.
    2. Re:Field of Screams by anagama · · Score: 5, Insightful

      Exactly. I use Netflix streaming a lot -- the price is right and I usually have no trouble finding something I want to watch when I want to watch it. I think the fact that its bandwidth usage exceeds P2P transfers is something the industry should notice. Many people are perfectly happy obtaining their content legally -- they just need an outlet that provides it at a reasonable cost without BS ads. If the industry doesn't provide, people will get it other ways (i.e., piracy), but if it is made easily available at affordable rates without advertising and its associated delays/annoyances, people will devour it. The proof is Netflix.

      --
      What changed under Obama? Nothing Good
    3. Re:Field of Screams by Machtyn · · Score: 2

      "B-b-b-but, a-la-carte programming is too expensive!!" -cable co manager.

      They're probably right, but Netflix is proving they're doing it wrong.

  3. It only makes sense by whoami-ky · · Score: 5, Interesting

    Gee, they actually made it MORE convenient and people are willing to pay for it. Compare this to what the movie/tv studios do on a regular basis. They make it harder to get the content and people tend to find alternative sources.

    --
    See my blog at Who's Who
  4. What I Don't Understand... by Nom+du+Keyboard · · Score: 2

    What I don't understand is why Netflix doesn't go to a BitTorrent style P2P swarm type streaming. This would so much get them around how the cable companies are trying to screw them over for doing nothing more than providing programming that I want over a pipe THAT I PAID FOR.

    --
    "It's the height of ridiculousness to say for those 9 lines you get hundreds of millions."
    1. Re:What I Don't Understand... by blueg3 · · Score: 4, Insightful

      There are probably more people whose ISPs throttle or otherwise disrupt BitTorrent traffic than there are people whose ISPs throttle Netflix traffic.

      Add to that: It would result in more total data going across the ISP's network. It would make it more complicated to alter the stream quality based on your network performance. BitTorrent isn't really very-well suited to streaming, particularly when people are accessing the movies at different times. Since people are accessing movies at different times, it would more or less require that large parts of the movie be stored, at least for a while, on the end user's computer. That means their Web client, game console client, and other embedded-device clients (smartphone, TV) wouldn't participate in the BitTorrent streaming. It also means that they'd need stronger DRM and probably still would run afoul with the movie industry. The only real benefit, besides potentially saving Netflix some bandwidth, is that it would be slightly harder to attribute the traffic to "Netflix streaming movie" and would instead attribute it as "BitTorrent". (Bothering to do DPI would make it relatively easy to determine that the traffic was, in fact, Netflix.)

    2. Re:What I Don't Understand... by masterwit · · Score: 2

      What I don't understand is why Netflix doesn't go to a BitTorrent style P2P swarm type streaming.

      An ISP can use your traditional tv-cable easily to send you stuff, however uploading is rather difficult in many implementations. P2P/Bit-torrent-style distribution relies on uploading from the end-user. Instead, using a content delivery network through Level 3 communications, Netflix is able to almost have the "common" content "pre-delivered" to a more nearby location. This is good for the cable companies and users like me that still want a functioning internet when the nation logs onto Netflix in the evenings...
      This recent Ars Technica article explains some of this upload limitations and I found it to be a rather enjoyable read. Perhaps when the internet is ready and moved beyond the cable era, uploading will not be as much of a concern.
      Disclaimer: This is not to say there isn't room for P2P like implementations or various improvements in current algorithms and models...just your traditional P2P / Bittorrent distribution might not be the best implementation (sadly) here. Also I am no expert, I just stayed at a Holiday Inn Express...

      cheers

      See also: recent video in a recent Slashdot article.

      --
      We should start a new Slashdot and return control to the geeks. It actually wouldn't be that hard to get some users to
    3. Re:What I Don't Understand... by SilentStaid · · Score: 2

      We need more legitimate uses for P2P. The more we have, the more Joe Schmoe will stop thinking P2P == Piracy.

    4. Re:What I Don't Understand... by SuricouRaven · · Score: 2

      A well-resourced CDN provides far better and more consistant performance than P2P, and does so while placing less load on the networks. It's big downside is the very considerable cost - the hardware, rack rental, and negociating deals with ISPs. They arn't even doing to talk to any company that doesn't have a few million dollars to bolster their reputation. So the CDN remains the prefered distribution method of the well-financed company seeking to deliver the most reliable service at a premium price (netflix) while P2P remains the perfered distribution method of those who need good-enough delivery but can't afford to spend millions of dollars (Pirates, independent games developers, linux distros, non-profit media). There are a few exceptions like Blizzard who use p2p as a way to save a few bucks, but that's mostly how it goes. P2P offers 'good enough' for free, while CDN offers 'excellent' at a hefty price.

  5. What about Linux? by JMonty42 · · Score: 3, Interesting

    Think what that percentage would be if they supported Linux, too.

    1. Re:What about Linux? by dogmatixpsych · · Score: 3, Funny

      29.8%

      I kid, sort of. ;)

  6. Netflix...not for long by Anonymous Coward · · Score: 4, Insightful

    With net throttling and pressure by cable and other internet providers for NO net neutrality (and the beginnings already of quotas), Netflix is doomed. And that's (part) of the point. The providers (Comcast, AT&T, etc) want to provide their own movie streaming services but with the big gorilla in the room, that would be Netflix, they see a problem. Thus they are already setting up tiers, throttling, pricing schedules, quotas, all to murder outside competitors for the services they want to (over) charge captive customers for.

    1. Re:Netflix...not for long by SuricouRaven · · Score: 2

      ISPs easily reach what is termed in economics a natural monopoly. The barrier to entry in a region is very, very high. It involves fitting new equipment, and probably digging up roads to lay cables. It takes a lot of capital to start serving an area. This means that once one ISP has gotten established, then no other wants in - why would they spend all that money to enter a market where they would be up against a competitor that already has 100% of the customers? It's just not good business sense.

      Wireless was supposed to help a bit, but it's still held back by fundamental laws of physics. A very narrow bandwidth over a shared medium just cannot offer the same performance as a wired network, either copper or fiber. Just doesn't work that way.

    2. Re:Netflix...not for long by tixxit · · Score: 4, Insightful

      Sandvine, who did this research, actually supplies Comcast with the devices they use to throttle traffic (especially of the P2P variety). So I'd take this article with a grain of salt.

  7. The Real Netflix Fix by Nom+du+Keyboard · · Score: 3, Interesting

    The real Netflix fix, instead of streaming the movie within the tight constraints and impaired quality necessary to prevent buffering, would be for me to order up the movie I wanted that morning like I order up DVD's from them, have them remove a previous movie to make room for the new one, and then d/l it over the day. By the time I'm home in the evening, even a slow DSL line could have a true DVD-level copy available for watching without interruption. The next morning I order another movie or two and the old ones are deleted as part of the new ones arriving. Seriously, this would be such an improvement over the existing system and the expense of mailing much better quality DVDs could go away entirely.

    --
    "It's the height of ridiculousness to say for those 9 lines you get hundreds of millions."
    1. Re:The Real Netflix Fix by The+Good+Reverend · · Score: 5, Interesting

      Studios have put up with streaming because it's generally NOT able to be saved in the embedded and proprietary systems it's used in. Anything that saved locally wouldn't adhere to current copyright agreements, so it's not gonna happen.

    2. Re:The Real Netflix Fix by yarnosh · · Score: 2

      DVD-level? Hmm, I didn't get a 46" HD TV to watch DVD quality video, I'll tell you that. But yeah, streamed NEtflix quailty is often pretty lacking. Some videos I can hardly read the text of the opening credits it is so bad. For any movie I'm serious about watching, I'm going to wait for the Bluray or Torrent it. Netflix streaming is just for watching random movies when I'm bored.

    3. Re:The Real Netflix Fix by thisnamestoolong · · Score: 2, Insightful

      WTF is this obsession with "movies made in the last 10 years"? Why does a movie have to be new for you people to like it? Is your cultural imagination really so limited that you are unable to enjoy something that is not specifically crafted to cater to your current cultural ideals and norms? Netflix has an amazing back catalog with thousands of movies far better than any of the elephant dung that Hollywood as produced in the last ten years.

      --
      To the haters: You can't win. If you mod me down, I shall become more powerful than you could possibly imagine
  8. OTOH by Waffle+Iron · · Score: 3, Funny

    As a snail mail Netflix user, I'll point this out: Never underestimate the bandwidth of a fleet of federally owned Grumman LLVs driving down residential streets and laden with DVDs.

    1. Re:OTOH by blair1q · · Score: 5, Funny

      Also makes it easier to trace your couriers back to where they've bin laden.

  9. Multicast? What's that? by tepples · · Score: 3, Insightful

    Simultaneously add the user to the most recent multicast group for that movie.

    That'll become possible once it becomes possible to set up and tear down multicast groups over the public Internet.

    Such an approach would dramatically reduce the traffic overhead

    Exactly how dramatic would it be? Are most people watching the same film, or are people watching different films in the long tail?

    1. Re:Multicast? What's that? by Machtyn · · Score: 3, Interesting

      I know my kids (2yo & 4yo) all watch the SAME DARN PROGRAMS over and over. They could just store those videos on my device/computer and use it as a p2p node. Let me know the videos are stored there, encrypt the data, so I can't copy it willy/nilly, and everyone is happy (I get faster access to those programs, they get a "free" node).

      Of course, the kids use the Wii, so there isn't a lot of space to put the video. However, they could easily use the extra hard drive space on any one of my 3 computers.

      I think the GP has a point, if Netflix is not already using a torrent-like technology, they really should look into developing that tech. (As the video streams data, it could pull from other users watching the same program. Once it catches up or becomes the lead viewer, it switches back to pulling data from a Netflix supernode.)

      Granted this could be bad for capped Internet subscribers and I'm not sure how it would reduce network traffic - unless they allow the creation of user nodes, but it will probably improve the end-user experience.

  10. BitTyrant by tepples · · Score: 2

    Add to that: It would result in more total data going across the ISP's network.

    Unless the peer selection prefers nodes that are faster to you and/or share a longer IP address prefix. BitTyrant incorporates techniques like these, which end up choosing more efficient routes to spread pieces within an ISP as opposed to between ISPs. So the edge gets more data going across it, but the upstream doesn't.

  11. interesting... by Mr.Fork · · Score: 2

    The Netflix business model is proving that a payed-for distributed content is 'working' and successful model! Hats off for Netflix's ability to be innovative with client pull-on-demand content that is shifting TV and online media at its core. The mere $9 a month I pay (and that's ALL I pay for TV since I cancelled my cable) is a drop in the bucket to what I would pay if I could get more content.

    What MPAA has to learn is that consumers like a business model where actually 'owning' DVD's is not a choice that most want. I've been also saying that Blu-ray is dead (long live blu-ray) ever since it came out. I really don't care to own a plastic disc with a movie burned on it when I can fire up my laptop or PC or Playstation or Wii and watch any move I want, anywhere I have an internet connection. Heck, my P2P downloading of movies and shows has fallen drastically since I subscribed to Netflix. Would I pay to have access to even more content - YOU BETCHA! Would I stop downloading if I could pay monthly fees to have access to quality Disney, Paramount, Sony, et al studio movies and TV shows? YES!!!!

    If I, a lone consumer, can figure this out, why can't they? I just want access - irregardless how I get it. If I can pay for it, brilliant! If I have to pirate it to get access, so bit it. But it's their loss, not mine if I'm forced to be a criminal because the studios can get their heads out of there legal asses and figure out their market and customers are screaming to have access to their content.

    --
    Management is doing things right; leadership is doing the right things. - Peter F. Drucker
    1. Re:interesting... by tepples · · Score: 3, Insightful

      The mere $9 a month I pay (and that's ALL I pay for TV since I cancelled my cable)

      Let me guess: You don't live with people who like to watch live news or live sports.

      What MPAA has to learn is that consumers like a business model where actually 'owning' DVD's is not a choice that most want.

      Unless they have single-digit-year-old kids who "wanna watch Sin-duh-weh-wuh again, Daddy."

      I really don't care to own a plastic disc with a movie burned on it when I can fire up my laptop or PC or Playstation or Wii and watch any move I want, anywhere I have an internet connection.

      Except when traveling internationally. Your portable DVD player still works with the DVDs that you brought, but your Netflix device is IP banned. See other advantages of discs that I gleaned from a previous Slashdot discussion.

    2. Re:interesting... by Xtifr · · Score: 2

      The mere $9 a month I pay (and that's ALL I pay for TV since I cancelled my cable)

      Let me guess: You don't live with people who like to watch live news or live sports.

      Let me guess. You're unaware that news and sports are frequently broadcast over the air, or you're unaware that over-the-air broadcasts are free of charge, or you're unaware that some people live in large cities with a wide variety of free over-the-air channels to choose from.

  12. Bravo for pulling this off by CrazyJim1 · · Score: 2

    I remember in the early 2000s going,"If only someone could stream movies and television shows legally, they'd dominate." I told a couple people and a Comcast rep told me that they're rolling out,"On Demand" which as it turns out is moderately effective. I could never get the business model right to figure out how to legally stream movies without the movie makers going,"You can't stream out copies of our work at all." I even thought,"As long as I have one copy of their product per stream, that could be ok, right?" I never thought,"Open up a mail order delivery system, then transition into streaming later." That was the key to get to where they are now.

  13. Re:So how much of available bandwidth are they usi by joocemann · · Score: 4, Insightful

    Making content delivery 'more efficient'? WTF?

    Do you know anything about VIDEO and AUDIO? ITS BIG DATA. And in 2012 it will be bigger, and in 2013 it will be bigger... Because people will be wanting 720 and 1080p. Better compression algorithms will only go so far so as to slow down the expansion of demand for that data.

    Everyone on slashdot actually knows the truth, which is that our network providers need to be upgrading infrastructure AHEAD OF TIME. They are already behind current times with so much oversaturation, throttling, and capping to attempt to compensate.

    WHY NOT JUST DO THE HONEST THING. UPGRADE INFRASTRUCTURE, PASS THE BUCK TO CONSUMER. THAT'S HOW HONEST BUSINESS IS DONE, AND LAST YEAR AT&T STATED THEY COULD DOUBLE INFRASTRUCTURE BANDWIDTH AT A COST OF $6/line. ( I'd urge less profits to upper exectives to afford it, but everyone knows that CEOs run America and its doey-eyed sheep that can't even spell anymore, let alone stop buying from walmart.)

    Oh wait.... maybe they can get google to co-opt the upgrade by putting out an ad-sponsored version of internet connectivity! YAY! We can do it the new-american way!

    *BARF*.

    Am I the only person left that would gladly pay MORE for something BETTER? Must it all be chinese crap of poor design and quality assurance? How many appliances must we throw in the dump, and how many evenings must we sit through lag, for people to realize that cheap-ass business gets you cheap ass product!

  14. The lights aren't all on upstairs, by westlake · · Score: 3, Interesting

    Gee, they actually made it MORE convenient and people are willing to pay for it. Compare this to what the movie/tv studios do on a regular basis. They make it harder to get the content and people tend to find alternative sources.

    Hello!

    The studios are the providers - Netflix is one of their licensed distributors.

    Better still, the Netflix "app" is on the HDTV, video game console and set top box. The PC is sidelined and with it the BT client.

  15. Ya I know, what a fucking surprise by Sycraft-fu · · Score: 4, Interesting

    So wait, you give consumers what they want for a reasonable price, and they'll pay for it? Who would have thought! One can hope they'll learn from this, but somehow I suspect not :P.

  16. Re:So how much of available bandwidth are they usi by SilentStaid · · Score: 2

    Am I the only person left that would gladly pay MORE for something BETTER?

    You're absolutely right. The problem is that we do pay more for something that isn't better. The classic example is to look at Southeast Asian bandwidth/$ rates and compare them to ours. And while I'm aware of the inconsistencies in terrain, culture and government I guess I'm just still a sucker for the bs Nationalist crap that says, "if they can do it so can we - and better."

    It's that kind of ego that could really push innovation in this field but alas, I don't think that guys like you and I are all that common. I'd pay more for better to be better, but that's really just one part of a much, much larger equation.

  17. Re:So how much of available bandwidth are they usi by Dahamma · · Score: 2

    What your asking for has already been done, they are cable companies.

    WHOOSH!

  18. Surprise surprise by nedlohs · · Score: 5, Insightful

    people don't actually have an issue with paying to access content and will do so even though they can download the same stuff for free on bittorrent.

    How the content industry let netflix take that market that was open for them to grab and how the music industry managed to let a niche computer company take over a similar music market that was open for them to grab I will never know.

    Well actually of course I will know, too busy clinging to the distribution model they already had.

  19. Re:So how much of available bandwidth are they usi by Creepy · · Score: 2

    Google (via YouTube) and Facebook are way ahead of you on figuring that one out.

    Incidentally, the last I heard before this, Netflix had something like 26.9% of prime time traffic (and were #1) with YouTube and Facebook distant #2 and #3 (at 19% and 17% I believe), so the only news here is their % went up ~3% (I made a post on that about a month ago).

  20. See, people won't ALWAYS pirate by jitterman · · Score: 2

    You just have to give value for money. Music industry: it's pretty obvious why people either only buy singles or pirate whole albums.

    Netflix lets me watch something once that I don't want to pay to own permanently, and I can watch up to 720 hours of movies/TV (i.e. leave it on constantly) a month for 10 bucks. Beats the hell out of pay-per-view as well, of course.

    --
    For conscience is the wound, and there's naught to staunch it