New device getting Netflix: PS3 Confirmed

[Elandyll]

http://finance.yahoo.com/news/Netfli....html?x=0&.v=1

Netflix stock hits new high as device deal looms

Netflix shares climb to new peak as investors bet device deal will propel subscriber growth

On 2:48 pm EDT, Friday October 23, 2009

SAN FRANCISCO (AP) -- Netflix Inc.'s stock price climbed to a new high Friday as investors shook off concerns about the DVD-by-mail pioneer's rising expenses and focused instead on an upcoming deal that is expected to bring in a large wave of new subscribers.

Shares soared as high as $57.50 before easing back to $54.16 in afternoon trading, still up $4.53, or 9.1 percent, for the session. The rally marked a new peak for Netflix's stock since it went public in 2002 and extended a surge that has more than doubled the Los Gatos, Calif.-based company's market value during the past year.

The latest buying spree was spurred by the growth potential of Netflix's supplemental service for streaming video over high-speed Internet connections. Netflix stirred the excitement late Thursday by revealing the streaming service will soon be available through a device already owned by a large number of consumers.

Although Netflix management didn't provide specifics, analysts quickly concluded the company probably has arrange to stream video through one of two video game consoles, Sony's Playstation 3 or Nintendo's Wii. That would give the console owners an incentive to sign up for one of Netflix's subscription plans so they could stream movies and TVs shows.

Netflix credits an existing agreement to stream video through Microsoft Corp.'s Xbox 360 for helping Netflix add 2.4 million subscribers since September 2008 -- the biggest burst of growth in the service's 10-year history.

Propelled by the upcoming deal with the device maker, Netflix predicted it will attract 900,000 to 1.2 million more customers in the fourth quarter. The company ended the third quarter with 11.1 million subscribers.

"We believe hybrid DVD subscription and video streaming model continues to strike a chord with consumers," Citigroup analyst Mark Mahaney wrote in a Friday research note.

Friday's rally reversed the sentiment of investors late Thursday after Netflix released its third-quarter earnings and fourth-quarter outlook.

Although the third-quarter results exceeded analyst estimates, management predicted it wouldn't earn us much in the fourth-quarter. The forecast puzzled some people because Netflix projected its fourth-quarter revenue would be higher than the third quarter, raising worries about the company's costs.

Netflix management confirmed it plans to increase its spending on promotions and Internet streaming as it prepares to introduce the option overseas next year.

In a first, Netflix also shared some information about on how much its U.S. subscribers are using the streaming service. About 42 percent of Netflix's customers streamed at least 15 minutes of video in the third quarter, up from 22 percent at the same time last year.

Most customers still prefer renting DVDs through the mail, partly because Netflix's streaming library doesn't include very many recent releases of movies or TV shows.

I'm going to put my pessimistic hat on this one. Given that Netflix uses the Silverlight technolgy (developped by MS), there is probably a sort of "exclusivity" contract between MS and Netflix, and probably one that protects the 360 vs the PS3 even moreso than the Wii.
So ... unless said exclusivity period is ending, it is probably the Wii that'll get Netflix on demand before the PS3.

If that were to happen, feel free to move to Off topic.

This being said, -if- it was the PS3 that's getting Netflix for Xmas ... that could be a master stoke if Sony was to communicate efficiently on this and with a ton of advertising.

EDIT: Well, I shouldn't have put my pessimist hat on it seems now
PS3 it is !!

[sokrman14]

EngadgetHD

New article with rumors of Netflix coming to ps3.

[Icemage]

Originally Posted by Elandyll

This being said, -if- it was the PS3 that's getting Netflix for Xmas ... that could be a master stoke is Sony was to communicate efficiently on this and with a ton of advertising.

I wouldn't put too much weight on the Silverlight usage. If they're going to stream to PS3 (and there's really not many reasons they couldn't from a technical standpoint, and many reasons to offer it from a market share standpoint), they wouldn't be using Silverlight. Sony already has their own download service up and running, so the technology backbone is already present in some form.

[ShelbyGT500]

I know PS3 will eventually get Netflix because when Microsoft outbid them for it, these type of contracts only last a year or two and then the other company gets to use or they both get to use it. It's only a matter of time.

[Blu Titan]

The PS3 is a good bet. Like someone posted above Netflix probably above, had a one year exclusive deal with M$. Now it will be the PS3's time.

[Tempest]

It would be good for PS3 in general to get this.. but one can already stream netflix to your ps3 if you have a PC so for many this won't really be that special.. I guess it would be nice not to have the PC on for it but my PC is on anyways for my normal Media Center that points to my personal hard drives/collection.

[Mr Bluray]

Just like everything else Ps3 will get it eventually just late by 1 year.I hope so it will give me more reason to stop using the 360.Then again Microsoft will release something that will take ps3 another year to get .

[Elandyll]

http://www.engadgethd.com/2008/10/29...box-360-first/

HD Netflix streaming comes to Xbox 360 first
by Darren Murph posted Oct 29th 2008 at 12:01AM

It's something you can't get on the Roku. Nor on LG's BD300. Nor on Samsung's P2500 / P2550 Blu-ray players. Nor through Netflix's own "Watch Instantly" portal. It's high-def Netflix streaming, and it's coming first to Microsoft's Xbox 360. Yes friends, when the all new dashboard hits on November 19th, with it will come HD Netflix streaming for (US-based, presumably) Xbox Live Gold members. You should know that this is only a "soft launch" with about 300 titles available for now, and the litany of details you're surely craving simply aren't available at present time. At any rate, we'd say things just got a lot more interesting in the world of digital downloads, but there's really no need. The real question is: when will everyone else follow suit, and how quickly can we expect current Netflix streamers to get the HD upgrade?

A little glimpse of the past. this article reminded me that Netflix debuted on the 360 on November 19th 2008. So we are getting awfully close to the 1 year anniversary hehe.

[jstutman]

I got a email a few months ago asking what devices I had connected to the Internet from Netflix. A few weeks ago I recieved an email asking if I would be willing to pay test out a feature and a one time fee to have Netflix on the PS3. Im now enrolled in some kind of beta (or something like that, but the website is mostly blank saying "more info coming soon"

I had to agree to an NDA, but it does not say I cant tell people about it....especially cause I dont have anything to share :P

[paulb]

More proof: http://www.netflix.com/InstantStreamingDisc

Can't be an old page since it has the slim PS3.

[Adegan]

I bet they are gonna pull the "cannot stream outside the US" crap they have always pulled when you try to stream through the computer. I will not get my hopes up.

[steve_dave]

Sony and Netflix have announced a partnership to bring Netflix Instant to the PS3 next month. You will need a special BD-Live enabled Blu-ray Disc to access the Netflix Instant on the PS3. This disc will be provided free and, so long as you subscribe to Netflix, allow you to enjoy hundreds of movies and televisions shows.

You can reserve the disc here.

Source

[ShelbyGT500]

Cool thanks for the heads up. Reserved

[Seeking_Alpha]

Awesome. I've decided just now to get a 2nd ps3 for my living room.

[KilloWertz]

Some people will say it's not needed since you can get movies off of the PSN Store, but I still think it is a good thing as it takes one advantage away from Microsoft.

[Elandyll]

Holy frack ... I just rechecked in my netflix page, on the instant stream devices :




PS3 listed in ... BIG TIME (notice the tiny xbox 360 under it)

[Bizdady]

im gonna have to restart my netflix account.

[androvsky]

Originally Posted by killowertz

Some people will say it's not needed since you can get movies off of the PSN Store, but I still think it is a good thing as it takes one advantage away from Microsoft.

The PSN Store and Netflix are two very different things. For the price of buying one movie a month, you can get unlimited streaming via Netflix; from what I hear, Netflix's streaming selection isn't very good (better for TV shows), but the price is right.

The initial requirement of a disc is interesting, as is the timing of this announcement. Sunday evening, really? Seems like this deal was announced at the absolute earliest possible moment, hopefully the next firmware will have this integrated, and better yet, allow for browsing Netflix's selection through the XMB.

[Idealsupra]

So does this officially make the 360 obsolete? I mean really what do they have that is better than the PS3 now? X-Game chat but thats coming next FW update supposedly. What else? Nothing I can think of.

[Illest Villain]

Originally Posted by androvsky

hopefully the next firmware will have this integrated, and better yet, allow for browsing Netflix's selection through the XMB.

Assuming there isn't a new firmware update this month, this with cross-game voice chat could be the next "big "features coming in the next firmware update which would be pretty big.