Earlier this morning, Netflix sent out an apologetic email informing Netflix subscribers about a new development: Henceforth, decreed CEO Reed Hastings, the word "Netflix" will now refer to only the streaming video service. DVDs (and now video games) will be banished to another site, which will look identical to the old Netflix but which will be called "Qwikster" and be, for all intents and purposes, totally separate from Netflix.
This is dumb.
The price hike Netflix underwent back in July aroused a sort of media-centric kerfuffle, despite the fact that the tech media, of all people, were surely aware that the ludicrously low prices Netflix was charging could not possibly stay so low if Netflix was to expand. (The same problem applies to music services like Spotify, Rdio, and MOG.) Aside from the day long eye-rolling about a raise in price, I doubted at the time that there would be any significant problem for Netflix down the road. Their service, especially compared to, say, cable TV, is insanely cheap, and I assumed people would grumble and then get used to it.
Apparently not, because this morning, Reed Hastings, the CEO of Netflix, sent out an email to subscribers notifying them of a pretty significant change: Netflix will entirely separate the streaming and the DVD-by-mail services. And not like they were before: the DVD-by-mail service is getting a new name, a new site, and will show up on your monthly statement as a separate bill.
This move doesn't solve anything, doesn't alleviate the woes of any of the crazies who cancelled their subscription to Netflix (which, might we say again, is amazing, and an amazing deal) over a four-dollar price hike. It simply makes it more difficult to have both a streaming and DVD service--and as many of the content providers (TV conglomerates like Viacom, movie studios) are being very obstinate about licensing content for streaming, a lot of movies and TV are still only available on discs, so it's not crazy to want both services.
Why does Netflix want to separate its streaming from its DVD service so completely? It's not for the customer. The DVD-by-mail service is dying slowly, and Netflix has made a whole mess of changes, some obvious and some not, to encourage people to think "streaming," and not "red envelopes," when they think "Netflix." And that's fine, but this separate services thing seems like a lot more trouble than it's worth just for some clear-cut severance.
Before the change, if you wanted to play, say, The West Wing, which you probably do because it's amazing, you'd go to Netflix, search for "the west wing," and find that, oh no, it's not available for streaming, but you can rent it on DVD. Easy! Now, if you did the same thing, Netflix would tell you "this title is not available." Then you can go over to Qwikster and search, if you remember that you pay for two separate services. Oh, also, ratings and reviews (which are pretty important, especially for Netflix's recommendation algorithms) will also be entirely separate, even when the exact same title is available both for streaming and on disc.
This isn't the end of the world, and I don't want to make it a bigger deal than it is. But here's why this is annoying: it is totally unnecessary. Aside from some psychological benefit of separating the DVD and streaming services in the customer's mind more thoroughly, there is no benefit to doing this, and it definitely makes using these services in tandem less convenient. Hastings did toss in a legitimately nice upgrade: Qwikster will also rent video games for Wii, PS3, and Xbox 360. That is great! Very exciting! But there's no reason that couldn't have been integrated with the streaming service as well.
Is this a reason to abandon Netflix? No. Of course not, don't be ridiculous, I don't know why you'd even ask that rhetorical question that you didn't even really ask. But come on, Netflix. Focus on getting more content and stop worrying so much about what the tech press (yeah, I know) writes. The one big benefit I see from this is that it'll be easier, in the future, to ignore what's going on with the DVD service as fewer and fewer people care about it--though I do wonder why this move is coming after the price hike and not before, and why it seems so oddly haphazard (Netflix didn't even bother to secure the @Qwikster Twitter handle, which is currently occupied by a stoner with lousy grammar). Let's just hope this is the last shake-up, and we can all go back to streaming episodes of Roseanne instead of venturing outdoors.
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They need to separate the brands long enough so that when they jack up prices on Quickster in the intermediate term (and kill it off entirely in the long term), it won't effect the Netflix brand that they actually want to keep: the streaming service.
The streaming service sucks. The movies are so bad. Bad movies from 70s 80s and early 90s. I mean we are talking really bad movie selection. I could care less about tv shows. I think the only show I streamed was Sons of Anarchy. The rest is crap. I really don't see the point of keeping the streaming service since Stars is out.
iTunes all the way for the win.
Wow. So, after so arrogantly declaring that they couldn't care less what their customers thought about their price restructuring, and losing a MILLION customers and almost 1/2 of the company's value as a result, they now double down on their arrogance, and declare that they are going to make it TWICE as hard for their customers to do business with them, and they couldn't care less what their customers think about it.
In just a few short months, Netflix has completely DESTROYED all the good will they had built up with their customers over the last 12 years, and they seem determined to send the company into bankruptcy soon. The stockholders must be SO impressed!
I'm pretty sure the price hike was more like $6, not $4. I was paying $12 for one Blu-Ray at a time plus streaming, and by my numbers, that was going to go to $18. On top of a price hike that I thought they already did earlier this year, by raising prices by $1 per disc out per month.
This is why i canceled my netflix not because of the price hike but because of this crap its just going to keep getting worse and the prices are going to keep going up. Its pathetic that in this country people OH YOU SERIOUSLY PRICE HIKE I AM SO ANGRY BITCH BITCH and thats all they do. Because companys KNOW that is ALL you will do. I garuntee you if 90% of the people that actually complained canceled then companys would take notice....same with gas prices we complained and moaned about 4 bucks then were like oh well atleasti ts only 3 now its flipping pathetic. American citizens in todays world are lazy and pathetic and the writer of this article is a prime example of that. Keep feeding the BS bro have fun sucking at life.
Research Graboid for the alltime champion in this category. 15$ a month you get 50gigs of bandwidth and you can watch and/or download any newly released dvd or tv show both in normal definition, 720 or 1080
icefilms.info all i have to say
I have like Netflix for a long time. They are ahead of the crowd in offering streaming and dvd media. If they keep complicating themselves or up their prices, well, it is easy to move to something else on the internet.
I got a email from NETFLIX today. I do not really understand their logic. We will see in the long run how it pans out.
Just Redbox if you want DVDs. No, you can't rent from your computer, but at least it gives you a chance to go outside.
Netflix separated the two services because the mail-in-dvd rental aspect of their business is being phased out. They are concentrating on streaming and are competing with other companies. Such as Wal-Mart, they are starting a streaming service soon. DVD will soon be extinct, digital copies are the future and Netflix is positioning themselves to be a big player in that market. Netflix was insanely cheap when it first came out, a price hike was expected. Their catalogue is limited now, but in the future it will be a lot better.
Yeah, I'm about ready to cancel the streaming part too. I never used the dvd service because it took too long and dvds sometimes didn't arrive. Then they would try to charge $15 for the lost dvd. Veetle.com and hulu.com, as well as those mentioned, such as spotify, give comparable services for free. And the streaming is very slow with netflix. They say watch movies "instantly". So far as I know there is no technology that allows a download to be "instant". It takes at least 1 minute just to cue it up and then it usually pauses ever 5-10 minutes even on reasonably fast connections.
Netflix is a joke ha did you know even on there site making a comment you can't use the word Netflix lol it won't allow it it bleeps it out like a curse word freaking funny
from Northfield, Vt
I really don't see the big deal in the price jump. Yeah it was going to go up, if thought that his deal was going to last for ever your out of your mind. For the content they give (which isn't only 60's 70's and 80's era video, your out your mind boka if you think that)we should be happy it only went up so little. Its the production companies you should be mad at for any price increase. When they saw how well netlfix was doing they figured they could hold netflix ransom for higher prices. netlfix had to increase the price to meet the demand of the production companies. But stull for the price your paying, and the availibility and service you really can't beat it.
WOW, THIS IS SUCH SCIENTIFIC NEWS FROM POPSCI! WOW!
...............not.
I suppose commercials do pay the bills though.
from Northfield, Vt
@aarontco
never had a problem, and i only have decent internet. Sounds like a hardware problem, slow modem maybe? I have never had any of these problems any one is talking about. Strange......
Of course if NETFLIX get to complicated or to costly, there is always the library and reading a good book. And its FREE!
Or you can just go outside and play a game. Disc Golf?
@boka
I suggested that with Redbox rentals (getting outside that is).
@becosmos
Imagine that. People, reading a book. Madness.
physical discs and software are WAY outdated. people need to CATCH UP!
I have not watched a DVD or blue ray in over 5 years! I download 100% off all the movies I watch.
the PSPgo while a failure but was on the right track. 100% downloadable games.
Video-game companies loose 100% of the sales on used games, having downloadable software solves that problem.
I collect certian CDs for certian bands. I understand that people want sometimes to HOLD onto something in there hands. unwrap it. its an important ritual that many of us grew up with.
but times change. how much WASTE is filled with old Nintendo, VHS, CD, DVD, Cassettes, no longer used?
CDs and DVD need to go the way of vinyl. limited production for collectors ONLY! not for everyday mass consumption.
but we have the technology 5 years ago to make 100% everything media related downloadable. hard-rive space is practically free now. you basically only pay for the materials and the shipping cost. add to that cloud computing space issues are solved. plus like most service, once you buy something digitally you own it for life, can delete it anytime and download it for free as much as you again and again.
I suspect they are trying to set an example to the movie studios and show that a significant more customers want to stream movies than want to rent an optical disc.
Maybe, (hopefully) it will somehow flip a switch in the minds of the skittish studio executives who control the movie licensing showing that they should put all new movies up for streaming. Not just movies that have been out on DVD/BD for years.
It seems stupid from a consumer usability standpoint, and might blow up in their face, but just maybe we'll get instant streaming at the same time the DVD becomes available for rent. Maybe.
yep, becosomos is a troll, second thread in which all they do is bitch and complain.
Excuse me for drawing attention to it, I apologize.
I like and enjoy NETFLIX and they have become a single focus of hate and discontent as they move to changes.
If I were to guess what they are doing now is separating the hate from NETFLIX and the company model.
They are trying to preserve the positive attitude toward NETFLIX streaming as they also move to up the prices in the future for DVDS. But later we'll end up being angry at Qwikster and not NETFLIX. It’s a subtle manipulation of sorts. Don't hate me NETFLIX, but hate my ugly sister Qwikster, she's different.
I don't know about everyone else, but I would NEVER download a game for two reasons: A--I don't have to wait for the game to download and B--I can trade or sell my games once im done with them. I think its a pretty stupid idea to stream games, its just another scam to get my hard earned money by greedy game producers--games still cost a crapload of money even if you buy them used. No other medium of entertainment is so expensive or has such a loyal fan-base, and I think game makers need to suck it up and accept that not everyone wants to spend 60 something dollars every time a new game comes out.
yes, digital media will eventually destroy "physical" media. but the downside of digital is that if your hard drive or computer malfunctions and dies then all you media that is stored in it will be gone forever. at least with the physical disc that's not a problem.
_________________
The people of the world only divide into two kinds, One sort with brains who hold no religion, The other with religion and no brain.
- Abu-al-Ala al-Marri
Intensive purposes. Not "intents and purposes"
@Rachinc: No, the article is correct using "for all intents and purposes", meaning "for all practical purposes". This allows for all purposes, not just "intensive" ones, because that would leave out any purpose that was not intense.
That said, the netflix commercial is pretty intensely annoying with its fake quiz show crap where the guy answers questions that haven't been asked and make no sense. But just like the bogus answers, the punchline answer is, "You can also watch instantly on your computer". That's sales talk (aka lying). It's not even close to instant. After you log in and flounder around for 15 or 20 minutes just to find a movie that's not a total piece of crap then you click on it and it takes a minute or two to load up. After that, unless you let it load for a few more minutes it will probably pause. One person here disputed that he experiences that, but my network connection is rated at 20 mpbs and I still get lags and jags in every movie.
aarontco,
Sometimes a router is burden greatly as certain times and bandwidth diminishes. Sometimes the NETFIX server is burden greatly and other times it’s not.
Just because you do a test on a bandwidth of your home internet at one particular time, does not mean you will always get this at every website all the time.
I wake up early naturally. So when I wake up early and browse the internet Sunday morning, well my internet just seems to fly. I suspect a great many other people attach to the internet are sleeping Sunday morning.
Heres a thought, if you give netflix a break...go ouside...you can view REAL birds and REAL people....and have REAL friends...why is it so hard to satisfy the average american these days?
The article is correct, Netflix was ridiculously cheap, but the content was starting to run dry. When Showtime backed out, Netflix lost a lot of good programming. It's still cheap, and very much worth the money. I'm looking forward to renting games from Qwikster. It's my guess, though, that the low prices won't last out the year.
4 WHOLE DOLLARS MORE?!?!?! WHAT A RIPOFF! :)
-Knock knock
-Who's there?
-The Doctor.
-Doctor Who?
-Yes
O yeah! Now we get to be involved with two money hungry movie businesses. And the same people are in charge.