Would You Pay Netflix Another $9.99 a Month?

• Report this Comment On February 02, 2009, at 1:34 PM, Patricia013 wrote:

  I have Netflix and love it. I highly recommend them to anyone - they are a sterling company. That said....no. I wouldn't pay them 9.99 a month more for HBO. That doesn't seem to be much of a break for Netflix users. HOWEVER, if they can find a way to instantly stream ALL their DVD's instead of offering some on stream and others thru the mail (with most new releases on a waiting list)...I'd gladly pay them more! I feel sooner or later that's what will happen anyway...at least I hope so.

• Report this Comment On February 03, 2009, at 4:10 PM, SureShoe wrote:

  I think the threat of companies cutting out the middleman is real. But, NFLX has proven it can stay ahead of the curve. As long as they continue to innovate and offer selection, they will win. After all, part of NFLX's appeal is the recurring "all you can eat" model they have.

  If studios do their own streaming, they would have to charge per view. They could do an all-access pass like NFLX, but Universal wouldn't be able to offer Paramount content.

  NFLX bridges that gap, which is why this makes sense for them. If HBO and Showtime could be guaranteed X revenue from NFLX while incurring virtually no overhead, why bother.

  That is where NFLX retains a competitive advantage.

• Report this Comment On February 04, 2009, at 9:53 PM, jkellynewyork wrote:

  caution -NFLX will be priced out in streaming - More broadband caps coming - caution 15 minutes ago

  increased broadband fees for heavy users plus the tiered premium packages for streamers - it is difficult to see how NFLX can compete on price in the future of streaming

  see here time warner expanded its bandwidth caps because of online video streamers - possibly coming to a city near you

  http://www.cbsnews.com/stories/2009/02/0...

  i wouldnt bet against the cable/telcom companies

  although NFLX will most likely fail at trying to become a media content distributor over the internet- streamers are still going to get a huge choice of online subscription plans to sign up to, plus with discounts through cable companies and an exemption from bandwidth caps for streaming. (see Starz Play is available to FIOS cusomters for $5.99 see here - http://www.starz.com/channels/starzplay ; Lions Gate with others is coming out with a monstor online subscripton streaming plan (the Epix channel)- see here http://news.cnet.com/8301-1023_3-1015150... ; also HBO is coming out with its own streaming subscription plan - and free to Time Warner customers - see here http://www.hbo.com/events/hbobroadband/i... (this is what NFLX wants to add for $10 more a month)

  I may even partake in some of these plans if cable does not get up to speed with their VOD subscription offerings. Many of the new TVs are also allowing connection to the internet so you could stream the plans. Also sure that all the game consoles, and other boxes will allow for these plans in near future.

  so although NFLX is spending alot of mail rental profits on streaming as an added benefit to subscribers with no additional costs currently - and this is clearly good for them so to gain customers and not to lose customers to other DVD rental competitors - it appears that NFLX will be priced out of any full transition to streaming in the future - and this is so even if broadband caps are not put into place cause cable telcom could easily tweak broadband and online streaming packages to price out NFLX

  the studios hate NFLX redbox blockbuster and similar services and are trying to figure ways out of this area - and with DVD sales down significantly a transition to all digital may come alot sooner than later

  maybe that is why insiders are selling like crazy cause they know NFLX is doomed

  very exciting stuff happening though with digital media over the next year -

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