Netflix to split DVD business? Not any more!

I'm DVD only, and I didn't get it.

Can anybody explain to me how Netflix (or Quikster) will be able to sign better agreements with the studios once they split themselves in two? They will obviously have fewer subscribers, even assuming more don't get disgusted with them and bail.
 
Well OK, Bob Haller, I mean TheKrell, you win your debate when the world deletes the internet. How often do Bob's stupid predictions come true? Hey, Netflix doesn't have to sell to millions of people who live without the internet, they just need to dominate the world market of those who do have the internet. Don't forget, Netflix as with Dish, is demonstrating they have the willingness to survive any change in the way the world does things. Dish is moving toward streaming too, not away from it. Don't rule out Netflix launching their own satellites if the world outlaws the internet or all ISP's go up in a blaze as you suggest.
The Internet does not have to be "deleted" - he is just referring to the fact that ISPs are owned by cable companies, and it seems likely that one of two things happens:

- ISPs successfully cap "free" bandwidth available to providers like Netflix, Hulu or Google's Youtube TV service and get them to pay for exceeding the cap, OR

- ISPs successfully create "Internet 2" controlled by global megacorporations that hash out a deal about TV streaming (that could cut out Netflix altogether). It includes most current web sites, and then leaves the current Internet as an underworld/ghetto for porn and spam.
 
I like your option 1 best, with my addition below.

The Internet does not have to be "deleted" - he is just referring to the fact that ISPs are owned by cable companies, and it seems likely that one of two things happens:

- ISPs successfully cap "free" bandwidth available to providers like Netflix, Hulu or Google's Youtube TV service and get them to pay for exceeding the cap, OR
- ISPs successfully cap "free" bandwidth available to providers like Netflix, Hulu or Google's Youtube TV service and get US to pay for exceeding the cap.
 
Boy is what I am hearing is true then on Friday a lot of DISH Network customers are going to be VERY happy.

Scott- Spoke to my BB store manager yesterday about your announcement. He said he has a big meeting and is to get an announcement on Thursday. He has no clue at this time.



I called my ISP and my cap is 1 TB a month. It's not in my contract which is auto renewing so I don't know if any cap is legal. I didn't argue as I doubt I can watch more than 1TB a month. :D
 
To anyone who has a memory, this move is not news except for the timing. Many of you might recall I mentioned this was Reed Hasting's ( Netflix CEO) goal in the long run. We just didn't know when. Back last winter he stated that soon the DVD rental by mail will need to be replaced with streaming and will become the dominant service at Netflix. I believe in the future and progress. Continuing mail order DVD rentals is a dying business concept with no future at the costs Netflix charges. It will radically increase in cost to Netflix to execute primarily due to increase shipping. Increase in cost to subscribers due to fewer and fewer DVD's cycled per month due to the planned reduction of US mail delivery. Hastings knows this and is planning now to fix this by moving to a better technology for the service. Yet, he is called by one sat guy member as stupid. I guess that individual must still have dialup internet or has never used high speed broadband video HD streaming.

What I see happening is that in the near future, the Quickster will suffer huge margin losses for the business, Netflix which will own it as a wholly owned subsidiary. It will try to spin it off as a niche business with no growth potential or it will simply shut it down. The move is toward streaming, everywhere. Face it, if you love DVD mail order your're screwed because it will go away like VHS tape rentals. Streaming is not a dead end to quality either. It will continue to improve, both on the distribution end as well as your ISP end. Everyone in the industry is working toward that goal, not to figuring out how to lower mail order prices.

In the short term, Netflix has made a bold move that is scaring the FUD people now, but in a year these FUD people will see the benefit of a low cost way to get movies and video entertainment content at the lowest cost.

Also, as far as the growth of Netflix is concerned, the business has recently expanded to 43 new countries for streaming service. No figures are public yet for this initial expansion. While Blockbuster and Hulu are small US based operations, Only Netflix is poised to be a global streaming media service with no real competition. It is this reason I have moved my investment position on Netflix to Long Investment as opposed to Trading it every few weeks.


I'm not saying DVD business will shrink over time, but there is nothing that competes with real Bluray quality! Netlfix could have split with website integration for a few more years and jacked up the prices of DVD to see when people would bleed off. At $4-$5 a BD rental in stores I am willing to pay $25-$30 a month just for the 2-3 disc BD at a time. The loss of integration between DVD and Streaming sites makes life suck and I too am waiting to see what Dish offers with Blockbuster because my loyalty to Netflix is done. Amazon's HD streams are better quality and offer 5.1 and if they would offer a subscription streaming I would dump Netflix. Netflix is stupid to make the radical separation at this time.
 
I'm DVD only, and I didn't get it.

Can anybody explain to me how Netflix (or Quikster) will be able to sign better agreements with the studios once they split themselves in two? They will obviously have fewer subscribers, even assuming more don't get disgusted with them and bail.
no email at all this week the only time in 7 years that a did not get a received or shipped notice from them
I guess they are done with the dvd end of there company .
 
no email at all this week the only time in 7 years that a did not get a received or shipped notice from them
I guess they are done with the dvd end of there company .
FWIW, I am still receiving my emailed notices from Netflix for DVDs shipped and received. Still no email on the spurious name change.
 
Do you all want me to post the letter for you? :) My guess is you all trashed it because it didn't look like a normal Netflix DVD status report. It was a straight simple text e-mail from Hastings. I probably would have overlooked it too but my Outlook automatically files any Netflix mail in a folder for it so it isn't hidden in a pile of spam.

I don't know about streaming for Dish customers being a dollar less. Wouldn't that be at $6.99? Currently streaming for Netflix is $7.99. There was never a price increase on streaming. What I heard from Scott was the Dish streaming will be $10 That's $2 more, not a dollar less.
On Monday when I talked to the Blockbuster store manager he said they just started a program for mail DVD and BluRay that matches Netflix new pricing. But, Blockbuster mailorder still has slower turn around times so what he said they do to compensate is allow you to swap out in the store. The difference between that and what I have is you can't swap the store title back and get credit for the first one until they receive the mailed disk at the distribution center. This gets complicated but considering the Blockbuster is 2 days turn due to mail delay ( 4 days total, then with store swap you could cut that time in half. With Netflix having a distribution here in town, I could do Netflix mail every other day IF the USPS did service every day but since they don't do Sunday, a 7th day gets lost and you can only do 2 per week. Like I said it gets complicated and I'm not into running my life schedule around mail DVD's. Blockbuster store Movie pass 2 at a time is still my best movie deal and streaming even better. Plus streaming quality and selection keeps improving. Now with Dish / blockbuster coming on board ( hopefully with good quality and selection ) I'll have backup and competition.
I'll sign up for the Dish deal even if it is $2 more a month for slightly less quality.
 
So many blockbusters closed, I don't see the in store trade ins being much of a benefit anymore. We only stream though, so what do I know.

BB has to beat Netflix on content and price or this will be needless hype.

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Hmmm... interesting!
Makes sense if you think about it. Why would you split a successful business other than to sell one or both of its parts!
Though personally I thought they were going to sell the Qwikster part.