Netflix to Blu-ray Subs: Screw You!
The online DVD rental service confesses that its spendthrift policies are leading to Blu-ray rental delays.
By Swanni
Washington, D.C. (December 17, 2008) – On October 30, I reported here that Netflix was painfully slow in sending new Blu-ray releases to its customers. Time and time again, Netflix tagged new Blu-ray titles with the dreaded “Long Wait” or “Very Long Wait” label, meaning it could take weeks before the title is mailed to you.
On November 20, I wrote an update saying that I had had enough. I was dropping Netflix and signing up with Blockbuster’s online rental service. Considering that I paid $18 a month for my Netflix subscription, which allowed me to have three different discs out at the same time, I wrote that you would think that the company would work harder to get my Blu-ray choices to me in a timely fashion.
Particularly since Netflix recently began charging Blu-ray subscribers an extra $1 a month for the ‘privilege’ of renting high-def discs!
Well, guess what? News.com now reports that Netflix is not only aware of the backlog problem, but they are just fine with it.
Steve Swasey, Netflix’s spokesman, told the web site that the company simply doesn’t have enough Blu-ray discs to distribute. When asked why Netflix doesn’t buy more Blu-ray copies – perhaps with the $1 a month fee they are charging its 500,000 Blu-ray subscribers – Swasey said the company believes that wouldn’t be “efficient.”
“There is an expense to that,” Swasey told News.com. “These things cost money. We deploy money where we think it’s going to be most efficient to keep subscribers and investors happy. It’s always check and balances.”
Swasey added that the studios have been slow to release enough Blu-ray discs for rental services such as Blockbuster and Netflix. But the Netflix spokesman said his company isn’t necessarily interested in buying them when they are available because of the cost.
Swasey also confessed that frequent renters are penalized for watching so many films.
“What we’re doing is giving new releases to the person who hasn’t rented as much,” he said. “We’ve been doing this for a couple of years and fully disclose this in our terms of agreement. If we have a shortage of titles we do what we think is equitable and give the title to the person who hasn’t rented as much or who hasn’t gotten as much enjoyment from the service.”
Folks, as I wrote in my earlier commentaries, Netflix is ripping you off. If you’re a Blu-ray subscriber, Netflix is just taking your extra $1 a month and using it for whatever it wants, be it the company’s digital download program or perhaps CEO Reed Hastings’ salary. Who knows? It’s certainly not going for more Blu-ray discs.
(Note: When Hastings first revealed earlier this year that Netflix would charge more for Blu-ray rentals, he defended the increase by noting that Blu-ray discs cost more at retail – and he opined that high-def owners are used to “paying more.”)
I urge everyone to dump Netflix ASAP and sign up with Blockbuster’s online service. Thus far, Blockbuster has been terrific, delivering almost every new release promptly.
So, Netflix, screw you!