Comments on: Umm, No. Netflix Isn’t Dumb When It Comes to Release Windows

By: ParisLemon » TC Post On Netflix/Hollywood

ParisLemon » TC Post On Netflix/Hollywood — Mon, 16 Nov 2009 02:04:10 +0000

[...] TC Post on Netflix siding with Hollywood on 30-day rental waiting period for new releases. NewTeeVee seems to think I’m wrong and that Netflix isn’t dumb for doing this. To be clear, as I say in the [...]

By: Paul

Paul — Wed, 11 Nov 2009 21:09:06 +0000

We know 42% of Netflix subscribers are streaming, but I wonder how many are streaming on their PCs vs. their TV (via the myriad of devices Netflix has partnered with). Pretty sure the devices are all setup as walled gardens, meaning you can't stream pirated content through them. Therefore, the piracy argument only applies to those who are willing to trade of watching on their TVs for their PCs. I'm guessing the TV streamers are the more attractive demo.

Another point--Hastings knows the biggest thing holding people back from the streaming option is the limited content library. I've read the libraries is constrained by the cash Netflix needs to buy the rights. So this deal would make more content affordable, increasing the library. If I had to choose between getting 2 out of 10 new realses right away, or 10 out of 10 new releases 30 days late, I'd take all 10.

By: Rayn

Rayn — Wed, 11 Nov 2009 20:58:42 +0000

I've had the same DVD's out from Netflix for over a year now and haven't even looked to return them (mainly because they're all in boxes from moving but whatever). For over a year now I've exclusively used their streaming service. It's only annoying at times when trying to watch a TV show that hasn't been approved for streaming yet. But for that I have Hulu. Just got my disk for the Netflix PS3 service too so we'll see how that goes.

By: Adam

Adam — Wed, 11 Nov 2009 01:32:54 +0000

I'd much rather have a broader library of streaming content than the latest release hitting on day one. Hell, my queue has about 200 movies on it, and I don't think I'll be getting through it anytime soon. When I do have the time, being able to sit down and stream what I want immediately is always the highest priority, and why I came back to Netflix after leaving shortly after they started out. (Plus I love my Roku)

By: @Michael_Irie

@Michael_Irie — Tue, 10 Nov 2009 23:33:15 +0000

Great post Chris...I hope that Netflix concentrates their efforts on building out the streaming catalogue.

As broadband becomes more ubiquitous and the masses get used the idea of accessing content online as opposed to needing a physical disc, streaming video will definitely be the big growth area for them.

I suppose this type of cost cutting move could also be prompted by any number of other factors, whether that's preventing layoffs (as David alluded to above), or just playing nice in the sandbox with the content producers to accomplish bigger goals down the road.

-MK

By: Ric

Ric — Tue, 10 Nov 2009 22:52:32 +0000

This is even more brilliant in the face of the brewing debacle of the Blu Ray managed copy fiasco mentioned elsewhere today. Netflix is going to do whats best for the movie industry whether the movie industry wants them to or not.

By: David Nett

David Nett — Tue, 10 Nov 2009 21:13:16 +0000

I agree completely. Movie rental (and streaming) is not just an event-based business model, where point in time is critically important. Content rental/streaming has a very long tail. If Netflix can significantly cut its overhead without cutting jobs, they should do so. In the long run, a deep library (with as much streaming content as possible) is their best weapon.

Eventually, big studios will find that this 30-day delay doesn't help them in their war for short-term $$ or against piracy. When they realize this and come back to the negotiating table, Netflix will be in a fantastic starting position.

Last - pirates will be pirates. Folks with the inclination to get their content for free and the will/time to seek it out will always do so. It seems highly unlikely to me that a significant number of people who are willing to pay for content (subscribers of services like Netflix) will turn to piracy just because of a minor delay, especially if Netflix's library continues to deepen.