Netflix may flip model, offer streaming-only with DVD add-on

By on Oct 21, 2010 at 7:30 PM
General October 21, 2010

Netflix CEO Reed Hastings reaffirmed Wednesday that the home entertainment giant is looking closely at flipping its service model. Netflix currently offers a range of mail-order DVD rental packages with “Watch Instantly” video streaming as a free perk. As the popularity of streaming video services continues to grow, Hastings has repeatedly made public the company’s interest in a streaming-only plan. Here are Hastings’ most recent remarks from Wednesday’s earnings call:

Three years ago we were a DVD-by-mail company that offered some streaming. We are now a streaming company, which also offers DVD-by-mail… Pure streaming could become Netflix’s core offering in the U.S., with discs being offered as a supplement for an additional charge.

The company got its start as an underdog providing DVD rentals by mail and quickly rose to play an integral role in the eventual bankruptcy filing of movie rental giant Blockbuster. The move to a streaming-centric model is seen by many as the next logical step in Netflix’s evolution.

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  • sirpaul

    Sweet. Now if only they would broaden the choice Canadians have in movies and shows…there is very little! US has it, why not us too? Probably some more stupid Canadian laws…

  • superchunk

    Hopefully this would accompany the availability of streaming that is identical to DVD releases. This is the a reason I don’t use their service.

    • Honda Design Team

      You got Redbox for that…

  • wanderer

    Definitely would be nice if you were able to stream new releases too instead of waiting for it via mail. They could even just limit new release movie streams to 3 per week or more depending on the plan.

  • sand0s

    @sirpaul… you also pay less for the same service last time I checked. Probably some stupid Canadian law.

  • Carlos

    So…they are finally going to live up to their name. Now they just need to make the streaming selection not suck. I’ve never wanted to watch something and then have it available for streaming which is why I am no longer a customer.

  • Lord Vader

    I am ALL for this, if if all all their titles an new releases are available

  • Tim

    Steaming is nice, but they certainly don’t stream all the movies that they have available on DVD. I’d drop Netflix if they drop the DVDs, or DVDs become more expensive.

  • SupremeGeek

    So far they do not have shit available for streaming.aube 1 in 100 movies can be watched on the net

  • SupremeGeek

    Maybe 1 in 100 that is

  • badchad

    What about quality?

    I won’t be interested until they can match the quality of blu-ray. It’ll be a while till they can stream 1080p in 7.1 sound.

    • brianw

      ? Supposedly their new apps for the ps3 streams in 1080P. Its not too bad on the wii, but at times its apparent. I too, would like to see newer releases on Netflix. I don’t like the fact that when I go to “horror” I see jaws 3. Don’t get me wrong, jaws was great… twenty years ago.

      • brianw

        (I’m talking “instant” BTW, now mail order DVD.)

    • T

      PS3 does 1080p with 5.1 surround sound and, if necessary, subtitles. No disc needed either.

  • Raptor007

    Great for many, not so great for others. I would jump for joy at this option but like many others who choose to have a less urban sprawl neighborhood and therefor cannot get real internet this would SUCK.

    My internet options are one of three choices. Satellite which has a daily limit cap, dial up, well who uses that anymore or mobile broadband again see the cap.

    So while its great and 80% plus of the country could do it there are still a good number of people who cannot.

    Besides Reed said Americans are too self centered to notice that Canada pays less than we do for the same product.

  • Dave

    Like the idea as long as new releases can be streamed. If new releases were not included I guess I would start using Redbox.

  • DNICETY

    I would love just streaming. Yes, it would be nice for ALL new releases, but I could care less about hollywood blockbusters, I’ve a DVD from Netflix on my desk for like 2 months now, that I keep forgetting to return. Netflix and Hulu are the reason why I cancelled my cable. I would continue to be a customer regardless of which way the go, as long as they don’t limit the amount of movies you can stream.

  • Seth

    As said before, this would kick ass if the streaming selection didn’t suck. I’ll just use Redbox.

    But hey, give me a good selection and I’ll be all over that streaming plan.

  • cyberstoic

    They are going to have to increase their streaming selection substantially. MOST of the movies are not streaming accessible.

    Second, they are going to have to do something about the stream quality. The streams are not even dvd quality and do not look as sharp even in 720p.

    Additionally, are their streams in anything but stereo? Kind of defeats the purpose of a home theater receiver wired for DD 7.1.

    I think in the future this will be great, they are just not there yet.

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