So Netflix has abandoned the Qwikster plan for now. But I still am not sure we are keeping our subscription. The whole thing is priced inefficiently if you want to have both services and the reason is noted in this New York Times Blog Article :
Netflix, in Reversal, Will Keep Its Services Together:
"Netflix said it never actually separated the services or started
Qwikster. But the planned breakup was rooted in Mr. Hastings’ belief
that DVDs and online streams have different cost structures and
different consumer demographics." Hastings couldn't be more wrong in terms of the consumer demographics. The public outcry at the planned breakup has proved there is a significant overlap between people who consume DVDs/blu-rays and those who consume streaming content. And this, for the most part, is created by the fact that their streaming library is still not as extensive as their DVD library. Without this problem, he would likely be correct. I don't know what the cost structures are for Netflix for the two different services, but I know I'd be willing to pay more for streaming than I currently do if I
could be guaranteed HD streaming of every title in the DVD library.
Alas, I think it's the studios and media conglomerates that stand in
the way of that. They would rather sell DVDs than streaming rights it
seems. This will obviously evolve, but these media behemoths move and change slowly and Netflix just got a little too impatient for their own
good.
More Commentary, interesting point of view from Popular Science:
