In recent months, DVD-by-mail darling Netflix has been re-branding itself as a video-on-demand service with a strong broadband component, and judging by a recent user survey conducted by the company, they’re contemplating a push into the next-gen game console space as well. According to Reuters, Netflix is asking customers if they’re interested in streaming movies via the Xbox 360. When the news service asked if this means they’re about to jump into bed with Microsoft, a company spokesman coyly demurred, except to note a desire to distribute movies “in as many ways as possible.”
If the survey results are positive enough, I suspect it’ll end up a done deal. Regardless, the fact that Netflix is even feeling out this possibility suggests a larger takeaway: Forget about Blu-ray, think broadband streaming.
Sony was recently crowing about its triumph over Hollywood studios, which after much pressure, largely acquiesced to rejecting HD-DVD in favor of the conglomerate’s high-definition Blu-ray standard. Trouble is that for Sony, almost all of its Blu-ray install base is in the PS3, the third place next-generation console that’s struggling to compete with the 360. If the 360 adds a movie-streaming feature with the name-brand cachet of Netflix, however, it’ll be Sony that feels the pressure to add a competing service. In the ensuing struggle, Blu-ray would most likely lose its luster to the appeal of getting instant movies at a button’s touch.
Provided, of course, Netflix or a competing service keeps pushing into this space. Watch this space for more developments.
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