Netflix recently announced that it is planning to offer a new subscription plan, streaming only. This means that Netflix users will be able to stream content online without any dvd’s delivered to their door. Though Netflix only offers about 12,000 online titles and 100,000 delivered titles, Netflix continually is increasing it’s number of rentals.
Netflix CEO recently stated: “Right now, the power of the service is that hybrid message, the best of both. So we’re putting most of our wood behind that. But we recognize at some point in the long term, the streaming will be good enough that an appreciable number of people will find streaming is all they need.”
Unfortunately, Netflix still works only in the USA. Due to their terms of service and perhaps licensing, Netflix is only open for those in the states.
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I think Netflix is smart to transition slowly to streaming – offering both that and DVDs for now, but with the assumption that within the next few years most of the demand will shift to streaming.