Netflix Tries An 'Unlimited' Strategy For Movie Downloads
from the all-you-can-eat-with-6'-forks dept
More interestingly, though, is that this announcement places Netflix firmly in the movie downloads business. Mailing DVDs will clearly remain part of Netflix for quite some time due to the lack of broadband penetration for many US customers, but the increasing costs of shipping physical media will likely doom that business. So now the questions of how to handle the distribution of digital data will really become a mainstream issue -- and a serious business test for Netflix. Will the delivery of streaming movies be hampered by the likes of Comcast and ISPs who compete with their own movie downloading services? Does the iTunes pay-per-title model make more sense than a subscription plan? Netflix faces a number of large competitors, as well as pirating consumers. On the upside, however, there is also potential to expand internationally if Netflix doesn't rely on the USPS.
Netflix is trying a few different tactics to support downloading, but its real threats may be the copyright holders who could giveth and taketh away the shows and movies. With around 6,000 titles available for streaming from Netflix, that's only around a year of straight watching if you actually wanted to watch everything -- and didn't need to sleep.