The speculation is that Hollywood wants to charge Netflix for streaming on a per-customer basis, regardless of whether or not the customer was actually using streaming. Netflix needed to split the DVD-only business to get those customers off of the books.

Smooth move, ex-lax.

Lol.

Netflix needed to split the DVD-only business to get those customers off of the books.

Interesting. Well, I think I'll dump the streaming, then (although I think the name Qwikster is ridiculous). The catalog isn't anywhere near large enough to compete with the dvd rentals.

Whereas I'll keep the streaming. I have had a Netflix envelop sitting on my tv stand for two months unopened. I have box sets of DVDs to still watch, and I find that purchasing (streaming) recent movies from Amazon (or buying older more obscure DVDs) is cheaper than monthly DVD fee at Amazon.

And Charlie uses my Netflix streaming account too (legally), so it works well.

But that isn't to say that Netflix hasn't made a complete mess of all of this. I started with heavy annoyance when they stopped allowing me to add movies to my DVD queue using the iPhone app. There is no way I will manage DVDs/streaming on two different websites. That is asking their customers to do way too much of their work for them.

Yeah, I am mixed about all this. On the one hand, the only way I consume media through netflix is via streaming. But that is a personal choice and how I have limited my media interests to that which I can get RIGHT NOW.

Beau on the other hand, is almost exclusively using physical media through netflix. As you might imagine he is the opposite of happy right now.

Overall, Netflix has handled all this quite badly since the beginning of the year, worsening the situation with every announcement.

I'm waiting for the other shoe to drop, which it most certainly will do before Thanksgiving.

What do you think the other shoe will be?

I have until Sept 26th (my next billing date) to decide what to do with Netflix. I got that e-mail this morning and it pissed me off even more than the original rate restructing did.

Other streaming/DVD options are what? Amazon? Hulu Plus? I haven't explored either of those or know what the pros/cons are there. At this point I kinda want to completely drop Netflix, but I do like the streaming and having access to newer movies on DVD.

Suzi, I have huluplus and amazon prime and there is a lot of overlap. I mostly have huluplus because Charlie gets a lot of use out of it (I got him a Roku for his new apartment in Alameda, and he watches Netflix, huluplus and amazon all on my acccounts). It allows both of us to have minimal cable. I'd drop cable in a minute if I wasn't a sports nut.

There's already a Qwikster on Twitter, and it's HILARIOUS: [link]

javachik,

I am not sure. I wish I were an industry analyst because I probably could answer your question more cogently.

It seems to me that netflix is in a bit of a bind:

a) disc shipping is somewhat beholden to the postal service system which is in trouble

b) streaming is beholden to the content providers who can act like ass clowns half the time. streaming is also beholden to cable companies and other telcos who control the pipes.

I think netflix is getting squeezed and I wouldn't be surprised if another major change to functionality/value is not in store.