Happy Wednesday to everyone out there. Another hump day to get over, and you know that once today is over the rest of the week should be a breeze. Now onto today's blog entry.
We all have used or heard of Netflix at one point in our lives. We have experienced the new tradition of renting movies online and not going out to the video store. And as of recently streaming movies, tv shows straight to your tv, video game console which ever you might have. So now comes word that Netflix is making changes to prices.
If you had a package of 10 dollars a month and you can have a DVD sent to your house and also capable of streaming videos to a device, that ends in September.
Starting this September you have to opt for which package you prefer, for example if you want to still get DVD sent in the mail that will go for $8 and if you want to stream video that will go for another $8. So the grand total of $16. For new members of Netflix the changes take in effect immediately in September.
While there was talk that Netflix was going to do away with the mailing of DVD's, because the cost of postage and all was going to be a hefty price for them. But now comes word that the streaming of video would also cost Netflix a lot more in licensing fees like 700 million this year and a whopping 1.2 billion next year.
The big honcho at Netflix didn't mention the numbers above, all he said was that users of Netflix love to stream video to their devices and there is still demand of mailing DVD's and that their prices are still the lowest in the business.
But I still don't understand, because I was at one time this year a user of Netflix and they say that they have a ton of customers that use the streaming of video. But in reality they don't have much to offer in the streaming of video. Now if the numbers hold true in the future of licensing fees then I would have to believe that they are going to offer more videos but if they are going to offer more better videos, then the price will definitely go up. So anyone out there that is using this service beware, because there might be more prices going up.