Monday, 10 October 2011

Netflix Aborts Plan to Separate DVD, Streaming Services

Netflix (NFLX) has abandoned its unpopular plan to spin off its DVD-by-mail service and rename it Qwikster, saying it will continue to offer both services through its flagship web site.

The movie renter told customers in an email and blog post on Monday that they will continue using "one web site, one account and one password" under the Netflix brand for both streaming and DVD-by-mail services.

The decision comes just three weeks after the  company initially revealed plans to separate its DVD service and operate the brand under Qwikster.com. It had intended to use Netflix.com for its streaming-only service, forcing dual-service customers to use two separate accounts.

That decision proved to be just the latest among a series of missteps for the Los Gates, Calif.-based company, which has seen its share price drop 60% since July when Netflix announced a price increase for subscribers using both streaming and mailed DVD services. Previously, Netflix users had been able to pay one lower price for the combined service.   Read Here

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