Questions and answers about Netflix's flip-flops

October 10, 2011

(AP) -- Puzzled by Netflix Inc.'s recent changes? You're not alone. Here are basic questions and answers about the company's reversal of its decision to split off its DVD-by-mail service and rename it "Qwikster."

Q: Will I have to go to two websites to manage my DVD queue and watch streaming videos?

A: No. Netflix on Monday backed off its plan to create two separate sites -one at Netflix.com for streaming videos, and another at Qwikster.com, for DVDs.

Q: Will I still have to pay for the services separately?

A: You'll have one account for both services. But the price changes Netflix instituted in July, under which it charges separately for streaming and for DVDs, is still in place. In other words, streaming is no longer a freebie thrown in with the DVD subscription.

Q: Why did Netflix change its mind?

A: Customers had greeted the idea with jeers and threats to take their business elsewhere. In a blog post, Reed Hastings said he's realized the change would make things too complicated for subscribers.

Q: I'm confused. What plans does Netflix offer now -and how much do they charge for each?

A: The video streaming service costs $8 per month. The DVD service starts at $5 if you want one DVD out at a time and a maximum of two mailings per month, and goes up to $44 for those who want to have eight DVDs out at a time and unlimited mailings.

Q: Why did Netflix think splitting the site in two was a good idea to begin with?

A: The company sees the streaming service as its future, and what it wants to focus on. The DVD-by-mail service got Netflix into homes, but it's expensive to mail DVDs and the potential for growth is limited. In homes, the streaming service is making the jump from PCs to the living-room , thanks to , DVD players and TVs that come with the ability to connect to the Internet. It's also going outside the home, since Netflix is now available on smartphones and tablets.

Explore further: Qwick retreat: Netflix kills plan to split in two (Update)

0 shares

Related Stories

Netflix apologizes for snafu, renames DVD unit

September 19, 2011

Netflix's top executive acknowledged that he "messed up" the video giant's new pricing scheme and announced a rebranding of the DVD rental service which has been split from its online streaming unit.

Netflix lowers subscriber forecast, shares fall

September 15, 2011

(AP) -- Netflix Inc. lowered its expectations for U.S. subscribers for the third quarter by 4 percent on Thursday, just weeks after separating its DVD and streaming services, which increased the price for customers who want ...

Recommended for you

Samsung to disable Note 7 phones in recall effort

December 9, 2016

Samsung announced Friday it would disable its Galaxy Note 7 smartphones in the US market to force remaining owners to stop using the devices, which were recalled for safety reasons.

Swiss unveil stratospheric solar plane

December 7, 2016

Just months after two Swiss pilots completed a historic round-the-world trip in a Sun-powered plane, another Swiss adventurer on Wednesday unveiled a solar plane aimed at reaching the stratosphere.

Solar panels repay their energy 'debt': study

December 6, 2016

The climate-friendly electricity generated by solar panels in the past 40 years has all but cancelled out the polluting energy used to produce them, a study said Tuesday.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.