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Old October 25 2011, 09:22 PM   #363
Robert Maxwell
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Re: Netflix shoots itself in the foot... aka no more free streaming

Star Wolf wrote: View Post
Voice of God wrote: View Post
So I guess the bottom line here is that Netflix got greedy. Most people joined up for the DVD-by-mail service, and Netflix has been using the profits from that to build up their streaming service. But now, they've pissed off so many customers on both services, they're going to take a loss.

I wonder what was so bad about the DVD service that they opted not to focus on that? It may have more infrastructure requirements (warehouses, shipping, etc.) but at least the costs are predictable. Streaming is going to kill them. The licensing fees they will end up paying are going to wring the life out of the company. It's already happening and will only get worse.

A shame, too, because I like Netflix. They have just made a total clusterfuck of this year.
Was there ever a resolution in $0.17 surcharge that USPS tried to slap on them because the envelope wasn't as machinable as promised?. I think the killer of the DVD service was the $0.56 cost of a round trip not even accounting for the loss of DVDs.
All I can find are articles about it being threatened, but no confirmation that it was followed through. So I have no idea!
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