Comments on: Netflix is dead if it listens to Wall Street

Digital distribution is coming whether investors like it or not. This is the worst time for the Web's No. 1 movie rental company to stand pat.

[catch23]

While I have no doubt that customers will embrace it (especially if they open up enough, and allow plugin development for computer-based PVR's), the real question comes down to ISP's.

If they start capping the amount you can download, that will kill this off (and everyone else in the download business) pretty quick.

[megustansalchichas]

Worst quality I've seen -needs to improve if they want subscribers.
ABC and Fox have streaming of shows in high quality video (near DVD)
Tivo has high quality (near DVD) downloads
Netflix has grainy low quality streaming (not near DVD)
I am a user of all three and I'm sure they will all improve their quality over time to have at least DVD quality (ABC already claims HD, at 720P, but it still stutters sometimes, so that's to be resolved). the issue is how fast can Netflix do it.
Only 8 Million subscribers? I thought Netflix was much bigger than that. Maybe they don't have the cash to make their streaming better. Prove me wrong, please.

[brewster1]

I do agree. HULU's resolution is usually much better than Netflix. Dont know why they cant have the same quality.

[usarioclave]

It's amazing how analysts, who don't have a day's worth of actual work experience, feel they can critique a company's strategy.

[Renegade Knight]

How dare you imply that experience being a company critic er...analist doesn't count as actual experience...Sheesh. Next thing you know you would say something like "It helps to understand sports to be a sports commentator".

[bwvla]

To be honest I dont really use Netflix on-line streaming videos currently. I prefer to wait for bluray discs in the mail for the superior resolution. However if over the next few years if I can get 1080p streaming video from Netflix I'll gladly switch over.

Netflix could focus solely on raking in the money on its cash cow DVD by mail service. But I feel they are playing it smart thinking about their next product to offer when DVDs go the way of VHS tapes. I mean look at Blockbuster as an example of what happens when you aren't thinking past today.

[jeremykoerber]

I love the netflix streaming service. True, they don't have enough movies to make it appealing to the masses yet, but I have watched several documentaries and La Vie En Rose via Netflix stream and it worked perfectly. I'm not sure why people complain that it's grainy or slow. It started playing immediately, and it was very clear even on a 40" screen. We actually forgot it wasn't a DVD, and my wife laughed as I tried to pause the movie with the DVD remote. Amazon Unbox takes hours before the movie is available on my Tivo. Netflix is going in the right direction, and the market will ultimately validate their decision in the next 5 years.

[Don Key]

If you look at Michael Pachter's history, he's been on the Blu-ray train as it's lead conductor for a couple of years now so of course anything that threatens Blu-ray he is going to be against.

[sandonet]

That's interesting Don because Netflix executives, at the company's investor day, were obviously luke warm on Blu-ray. They were asked if they are planning any special promotions of the discs and they said no. They explained that Blu-ray is a tiny percentage of their business. I think Netflix is banking on the Web vs. more discs, at least in the long run.

[bpob1977]

I've found that displayed on a 50" Plasma, streaming vids from netflix are about regular DVD quality, but less than Blu-ray. It is important to note that the quality (bit-rate) is highly dependent upon your available bandwidth, internet congestion, and computer processor. If it's a film I really want to see, I'll definitely wait for the Blu-ray disk.

[WJeansonne]

Yes, I agree with all of the other posters here. Netflx is doing it right! I am totally spoiled with NetFlix's Watch Instantly service. I have watch dozens and dozens of movies over the past several months on a Vista Media Center computer dedicated to serving up this service. Moreover, if you are a lover of the classics you will be 100% satisified. And if you like watchin old Adam 12 or Emergency TV shows for nastaglic fun, go for it! It's all there!!

[cdotspace]

I had Netflix mail DVDs to me for about two years until I cancelled my subscription. I found that when the movie arrived I wasn't always in the mood for THAT film.

I was waiting for Netflix to offer download to TV service. But when they did they said I had to buy the box for $100, and Netflix even states that this box is the "first in a series". So does that mean in a year I have to buy another box??? No way. Netflix messed up with this new offering. I have not renewed my membership and am currently going without watching videos at home. I wouldn't be suprised if they go away.

[cdotspace]

I had Netflix mail DVDs to me for about two years until I cancelled my subscription. I found that when the movie arrived I wasn't always in the mood for THAT film.

I was waiting for Netflix to offer download to TV service. But when they did they said I had to buy the box for $100, and Netflix even states that this box is the "first in a series". So does that mean in a year I have to buy another box??? No way. Netflix messed up with this new offering. I have not renewed my membership and am currently going without watching videos at home. I wouldn't be suprised if they go away.

[cdotspace]

oops, sorry. didn't mean to post this twice.

[brewster1]

Not watching videos at home is a fine alternative. I prefer going to the cinema!

[SteamChip]

I'm fine with the little red envelopes. I may get the box only because Xeena 4th season is download only

[arous]

I hooked up an older laptop to my new LCD 720p HD TV and stream Netflix. The quality of the picture is great, certainly comparable to my digital TV service thru my cable box. Now, it's not true HD, my cable company gives me about 25 true 720p HD channels and there is a quality difference, but it is far better than watching my digital signal with my previous tube TV. The disks will eventually disappear and I, for one, would rather have a digital library to choose from in the future.

[dburr13]

Wall street can be a great killer of innovation...Why change how you do what you do if the profits are rollin' in?....Too many people can't see beyond the next dividend.

[brewster1]

I agree! The public, at least American public, is ready for a digital-delivery service that enables users to download movies to take off. I already ordered a Roku box and it is two weeks delayed from demand! I hope HULU and others jump on board soon. Get real: Who would not love the idea of shedding the hassle of returning DVDs (mail or otherwise) or boxes taking up your shelf space. It is the future.

[fdtjr1]

anyone that has seen the latest TV's with built in wifi knows that streaming of entertainment is just around the corner.

[lifeonamazon]

I agree with the analyst, Netflix should put all its money into growing their existing mail business. Let Amazon develop the downloading technology, it is their core business and they have far more resources both human & technology in this area, so Netflix would never be able to effectively compete. There is still room for a lot of growth in Netflix core business of subscription based mailing of movies. They can sign a partner deal at some point or agree to be acquired by Amazon making a lot of profit for their shareholders. (LifeOnAmazon com)

[muleboy9t9]

I have been a Netflix subscriber for the last few years, as well as an occasional user of the Watch Instantly section (mostly for my Outer Limits or Alfred Hitchcock fix). With the arrival today of my Roku box, I must say I am overjoyed...the quality is more than acceptable (like most folks have said...about DVD quality). Note: I am connected to a Cable connection (wired) and have the player hooked up via HDMI to a 42" plasma. I can tell I am going to be a big time user of this...I was kludging my laptop via an S-Video connection and it was crap. This is a huge improvement. As for the Blu-Ray proponents, they can kiss my hind end...Digital Delivery and Standard DVD for me :-). Not gonna waste my time investing in High Def DVDs anymore (after I took it in the shorts with HD-DVD). Now I will just waste my dollars investing in higher speed connections (until the Internet collapse on itself). The person who was commenting on Broadband providers (or the government) screwing this all up is spot on...I am just crossing my fingers and hoping it doesn't happen.

[ev61]

There is a happy medium... digital, SD-DVD AND Blu-ray... rent BD from Netflix by mail, buy only the must owns, and watch the rest through the Roku box. That is my plan.

[benjaminstraight]

This will be huge regardless of the commentary.