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Netflix Proposed Settlement May be Revised

Gadabout

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http://news.yahoo.com/s/ap/20060217/ap_on_bi_ge/netflix_lawsuit

I sure hope so! How much was Netflix counting on people to just "forget" to notify them to drop the "upgrade" and go back to their normal quota of DVDs. We didn't sign up for it for this reason. I think everyone should have received a free month, not just some people.

I am very disappointed to find out that the delays appear to be intentional as well--I thought that they were due to perhaps someone not paying into the Business Reply Account in a timely fasion (have to have money in it or the company doesn't get their mail) and the DVDs were sitting at the PO in the meantime.

Just like "endless refills" at the restaurants where the waitstaff avoids coming by to refill your beverages.... :mad:
 

bluehende

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complain to get action

As a side note....


I sent them a very polite complaint letter as I'm sure my account had been flagged. Within a few days I was receiving the new movies again.

Wayne
 

Gadabout

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bluehende said:
As a side note....


I sent them a very polite complaint letter as I'm sure my account had been flagged. Within a few days I was receiving the new movies again.

Wayne

I recently received about 3 movies in a row where the envelopes were badly damaged and taped up, with NO stamp from the PO saying "received in damaged condition" which is what they're supposed to do so that you know it happened while in transit to you, not that someone got into them, and then stuck them back into your mailbox. The DVDs were okay, luckily.

I went to complain at the window, because like anyone, I'm concerned about mail theft, and the clerk said that the envelopes are catching in the machines, and they're trying to work with Netflix on redesigning them. And she said they're not bothering to stamp them because there are so many of them.
 

pwrshift

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Just imagine...

...if you bought Netflix when this thread started can you imagine what your shares would be worth today!

Brian
 

falmouth3

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I looked into buying it a few years back and decided the PE was way too high. Guess I was wrong. ;)
 

dioxide45

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Are Netflix's days numbered also? The traditional movie rental store has gone by the wayside for Netflix. Now perhaps their days are numbered also. For many hitting a Redbox is cheaper than Netflix on a monthly basis.

If you watch a ton of movies, Netflix is great. But if you were like us (We used Blockbuster Online) and had a movie sitting on the TV stand for 45 days, you were spending money on nothing. This is what Netflix hopes people do and I would be willing to bet there are a lot of people who only watch a movie about once every couple of months. They start out with good intentions but in the end it turns out to be just like a gym membership.
 

MichaelColey

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I think Netflix dodged their biggest threat by investing heavily in online streaming/delivery. I think that's where the future is.

Redbox is certainly cheaper and better for many people, but far more limited on the selection and (currently) with no streaming options. If they add streaming (with a considerably larger selection), they will be a HUGE threat to Netflix.

We use Netflix (and sometimes Redbox) as a replacement for cable/satellite and buying DVDs. Instead of paying $60/month for cable/satellite, we pay $20/month for Netflix. We get a steady stream of movies we actually want to watch (not always the case with cable/satellite), for about the same price as buying one DVD per month. (We seldom watching things more than once, so no need to own them.)
 

dioxide45

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How will the new net neutrality rules effect Netflix though? It seems now that Internet providers can throttle back the bandwidth on content providers like Netflix. Also with the potential of implementing bandwidth usage based billing to consumers, the cost of services like Netflix could get higher.
 

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I think Netflix dodged their biggest threat by investing heavily in online streaming/delivery. I think that's where the future is
netflix didn't "dodge" anything, this was their plan since their founding. Co-Founders Marc Randolph and Reed Hastings always said, that movies in the mail was just temporary for netflix when they started in 1997, but their true goal was movies in real time, straight to your tv. The world just didn't have the infrastructure then. Look at their name ... netflix, not mailflix
 

pgnewarkboy

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I think Netflix dodged their biggest threat by investing heavily in online streaming/delivery. I think that's where the future is.

Redbox is certainly cheaper and better for many people, but far more limited on the selection and (currently) with no streaming options. If they add streaming (with a considerably larger selection), they will be a HUGE threat to Netflix.

We use Netflix (and sometimes Redbox) as a replacement for cable/satellite and buying DVDs. Instead of paying $60/month for cable/satellite, we pay $20/month for Netflix. We get a steady stream of movies we actually want to watch (not always the case with cable/satellite), for about the same price as buying one DVD per month. (We seldom watching things more than once, so no need to own them.)

I was truly one of the first Netflix subscribers. I dropped them one year ago because they became too expensive. The streaming disappointed me because of the lack of new titles. I am very happy with a combination of Redbox and the premium channels like Starz, HBO, Sho, Cinemax, etc that come bundled with my FIOS. Starz, HBO, and SHO provide great original programming (the reason I get them) and the movies are just a bonus benefit. Video on Demand is great from FIOS and I watch many great newer movies on demand as part of my premium channel subscriptions. I wouldn't get those channels simply for the movies but all the original material makes it more than worthwhile.

I recently read that the STARZ deal with Netflix is ending and that it will not be renewed for the cheapo price NETFLIX originally got from them - generally considered a sucker deal in the industry where STARZ was the sucker. STARZ is one of Netflix's biggest suppliers of newer movies. Any new deal, I read, will be close to TWENTY times more expensive.

The problem with the distribution system WAS that Netflix was paying far less than Cable for the same content. That is over. Netflix will not be able to survive without agreeing to paying much more money for streaming content from all the major content providers (not just STARZ) and that will decrease their subscriber base because they will have to raise their already high rates significantly.

The future for Netflix is bleak in light of the change in the business model from content providers. Netflix had a good run and I appreciate their early innovation and breaking of the Blockbuster stranglehold. They are, however, in an extremely volatile and fast moving industry. They have a great deal of competition in the streaming market for TV shows and old movies and home made films. Which is basically what they are being relegated to providing. The discs, are a better deal on Redbox. Hot new releases became very difficult to get on disc from Netflix (you can't stream them from Netflix) and I couldn't see paying them a fee every month to get a "very long wait" notice for a movie I wanted to see NOW.

Frankly, If there is a great movie that I want to see right away I go to the movie theater. It is still the best way to view, hear, and enjoy many movies.
 

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I think it's fair to say, Redbox is taking away major business from both netflix and ppv.

For example: Last night, I was ready to purchase Iron Man 2 HD for $5.99 on-demand, 24 hour rental (the non HD one was $4.99 for reference)

I then remembered there is a redbox about a mile from my house, and I had to pick up chinese food anyways, so I rented Iron Man 2 blu ray for a $1.50, due back next day 9pm. (dvd version was a $1.00).

the only thing the competitors(blockbuster, ppv) have going for them is they release movies 28 days before the rest and redbox can't carry all the titles you want, mainly new releases. obviously if you live in some rural area netflix or ppv is the way to go.
 
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falmouth3

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We canceled our Netflix because DH felt he couldn't get enough of the more recent releases, there was always a very long wait. We use Redbox exclusively now because there are 4 of them close to our house. Two are in grocery stores and the other two are outside. When we want a movie, we go and get one. Even got one on Christmas Day. And you can reserve one online if you think there's a chance it might be gone before you get there. We can also rent from one Redbox and take it back to any other one.

It works well for us.
 

dmbrand

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I might be in the minority, but I still feel that Netflix is the greatest. We mostly watch indie movies, rather than mainstream box office, though. The streaming feature gets the most use for us. My son's playstation 3 is registered to our account, and he streams movies in his college dorm room 100 miles away. He also just found the app to stream Netflix to his Ipod Touch, at no additional cost.

We will have to see what the future holds; for now, it is an inexpensive form of entertainment for us.
 

mo1950

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DH and I are enjoying Netflix right now too. We only pay $7.99 a month for all the movies we want. Of course, we are only allowed 1 DVD at a time through the mail. But we are mostly streaming and enjoying the older movies. When a new movie comes out at the theater, we watch it there.
But, so far, we have tons of movies to enjoy on an instant basis - have 38 in our instant queue waiting for us to watch.

I appreciate this post, however, because it sounds like things may be changing pricewise fairly soon, and DH and I did not know that. We will keep a watch on it.
 

pwrshift

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Netflix just entered Canada with a boom apparently. I bought an AppleTV gizmo that gave me Netflix for $8 a month unlimited streaming. No rentals available, but I can get pay per view from iTunes and/or my cable for that. Must say the Netflix movies are all pretty old, but I wouldn't even consider it if it was $20 a month. The service in the US must be quite a bit different from Canada's.

Brian
 

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I gave up on netflix because of the lack of new releases.The streaming and disc turnaround were good.I also found that when I travel most of the hotels and timeshares I stayed in did not have a fast enough internet connection to make the streaming work well.
 

geoand

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We have enjoyed netflix for several years. I have never been bothered with the delay in "new releases." The way I figure it, I have been waiting a long time for a movie to be released on dvd or bluray before watching it. So, what's the big deal with waiting a few more days or a month or two to watch it after the dvd release. I have over 400 in my queue and over 75 in my instant queue. It is basically, all I watch. Its a good deal for me.
 

cgeidl

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Netflix

I have had the stock several times and like their ability to switch when needed.When you have one product all management efforts go to that product. Walmart tried competing and ended up recommending all their customers use Netflix for movies and turned over their customer base. Blockbuster has been closing 200/3oo store for several years and scoffed at Netflix's stupid idea of renting movies by mail.
Now downloading on the internet to play on your TV is the in thing. We got a new DVD blue ray player with wireless internet connections and future upgrade to 3-D movies.
All present tecnology companies will fail at some time and be taken over or become obsolete. After all only one of the original 30 Dow stocks remain and the rate of change is much faster today.You must keep ahead of the curve and if you miss the curve it may be the end of your company.
 

pwrshift

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I'm amazed that Blockbuster missed out on realizing that perhaps Netflix was on to something as BB was big enough to jump in and steal it all away before Netflix built a foothold. BB's board of directors should be shot.

While Apple paved the way with the iPad their competitors let them have the field to themselves for almost a year...shame on HP, Dell, etc.

Brian
 
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