El Paso, TX
reply to Linklist
Yeah, i don't think i'd pay 20 bucks a month for Netflix either.
The reason Netflix can be cheaper than the alternatives, and will likely remain cheaper, is the fact that they bank on users already paying for an ISP.
They can reach anyone with decent internet access, which will translate to a much broader audience than ever possible before. (as soon as copywrong laws change, the whole world)
This of course wouldn't be possible with out moore's law, which makes it possible to have faster connections for the same amount of money you already pay, and in some cases even less.
The other reason why i think it will possibly remain at this price, is because it's playing on a truly open market.
Entrepreneurs can very easily compete with them, far more easily than our current, very limited choices of content providers allow.
Amazon is already shaking things up, and so is Onlive.
We really need to look no further than the current state of the music scene. Services like Spotify are popping up faster than sptoify itself has even made it's U.S. debut.
If you would've asked anyone 20 years ago, if they thought that 10 dollars a month would get them unlimited music, regardless of how new, and how easy they'd be able to access it (you can pretty much carry a "world library" on your car)
I don't think anyone would've said it would ever be possible, and yet. Here we are, with services like Rdio, Spotify, Rhapsody, MOG, etc.
So yesterday's music pirates were right all along: We don't have to pay thousands of dollars to listen to anything we like.
Sure, it's not free.
But it's so much of a better experience than spending lots of time searching for pirated music, that most people gladly pay for it, not to mention non tech savvy people that would never even think of where to look for the pirated music.
Now, It's video's turn. And then we just have to wonder what comes afterwards when we are in the gigabit/sec era.
which will come a lot faster than some people think, or are even prepared for.
On the topic of copywrong. If Netflix starts to be the content owner, all of a sudden all they need to do for a world wide launch of their content is hire those anime fansub groups that have subs out faster than the blink of an eye, and they can have a simultaneous world wide release of their shows.
reply to BF69
Netflix will need to increase rates to pay for renegotiated content deals, not for additional content. Long standing consumer complaints of many other content issues and ISPs will be no different for Netflix. "Hey, my rates continue to increase, but I'm getting less and less of service. WTH???"