said by pnh102:
I can see Hollywood eventually raising the price of content licensing for Netflix to a point that forces Netflix to essentially price itself out of business.
That apparently is Netflix's plan - end the DVD rental business all together.
»www.splatf.com/2011/09/netflix-q ··· wikster/
Further down the road, I wouldnt be surprised if Qwikster breaks off completely from Netflix, is sold off to another company, or merges with another DVD service, like Redbox.
Why is this happening? Because the future of Netflix is streaming videos. Period. Not mailing them to your house via the U.S. Postal Service, but delivering them to your TV and devices over the Internet.
But to get there, Netflix first has to convince Hollywood to stream its best movies, and it needs to train consumers to stream movies as a default behavior. That means making sure that the streaming business can stand on its own. And that means separating DVDs from the equation, and doing as much as possible to get everyone to stop using them, short of blatant sabotage. (What, you think the bad name, Qwikster, is an accident?)