TechWatch: Netflix killed the Movie Channel Star

Monday, 09 February 2009 00:00

We’ve been waiting for Netflix to fight back or go under ever since Blockbuster worked out their delivery kinks in the Blockbuster Total Access program. We think they’ve finally given us a reason to consider switching back after announcing a partnership with LG at the 2009 Consumer Electronics Show in Las Vegas to release flat panel HDTVs with built-in streaming capabilities from Netflix. These models that will be identified as ‘Broadband HDTVs can be seen as early as Spring 2009 for US retailers. It represents something major in the technology realm as someone is finally putting the age old idea of internet and television into action. Sure, we have the technology now but we’re pretty sure most of us don’t know how or would prefer not to bother with hooking the laptop up to our big screens to pirate material to watch.

Netflix has offered its streaming technology to subscribers of its 3 unlimited rate plans for nearly a year now. The only catch is you have to purchase one of the handful of Netflix-ready devices that range from $99 for the Roku Netflix player to $399 for some of the new Bluray devices. Or, at least have an Xbox with a Gold LIVE membership that you can use to get your internet connection going. For a complete list of Netflix streaming compatible devices click here). Starting as low as $8.99/month, you get instant access to over 12,000s movie and TV series titles…even the current season for shows like the Office, Heros, or 30 Rock. Just hook the device to the internet via an Ethernet cable or WiFi and then to you TV, add your streaming selection to your queue on the Netflix website from the smaller, streaming library and it will be downloaded to your device. If you hate the selection…just turn it off and add another one for immediate access!

We love the concept of the streaming and are pretty sure this is going to be the death of subscription movie channels like HBO and Starz so long as Netflix can keep getting their titles earlier in the food chain. Plus, with the TVs available it should take out the hassle of buying yet another device. Still, its going to come with a hefty premium – nearly $300 over similar LG models. So is it worth it?

Pros:
- One less device to hook up
- You look cool to your friends
- No more sitting through terrible movies because it’s the only one you rented

Cons:
- Around a 15 second delay to buffer anytime you want to fast forward
- Quality is still limited by your Internet Service Provider and bandwith
- Only 12,000 titles available compared to over 100,000 on the ‘old-fashioned’ mail program

All in all…we think its pretty cool but will probably wait to see the premiums come down a bit or until Blockbuster finds something better to add to their Total Access. Win-win situation for everyone…well the movie watchers anyways!

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