Rumor Control
Source: Reuters reports that Netflix is asking customers if they would want to stream their movies off of the Xbox Live Marketplace.
What we heard: Rumors have been floating around for months that movies-through-the-mail rental service Netflix would be teaming up with Sony or Microsoft to distribute its catalog of films over the console makers' online services, but the latest twist pointing to the company's interest in the sector came from a Reuters report this week.
The news service reports that Netflix has sent out a survey asking customers if they are interested in streaming movies off of the Xbox 360. A representative with Netflix wouldn't tell Reuters if the survey indicated a deal with Microsoft had been struck, but did say the company wanted to get its films on customers' TVs "in as many ways as possible."
That quote, in combination with the previous rumors about the deal, certainly make it seem as if Netflix would be eager to have its wares offered through Xbox Live. Considering that Netflix founder, chairman, and CEO Reed Hasting also occupies a spot on Microsoft's board of directors, there's a very real opportunity for the two companies to leverage their core competencies in a veritable orgy of corporate synergy.
That said, Netflix already offers a catalog of streaming movies to PC-bound subscribers. The company has also enlisted the help of LG Electronics to create a set-top box that will stream films in high definition, a function that would essentially be duplicated by the rumored Xbox Live deal.
On top of that, Microsoft already streams HD films over Xbox Live, and the feature lets users start to watch rented flicks before they've finished downloading. Netflix is in many ways a competitor in the streaming rental market, given that it offers subscribers a selection of 7,000 films to stream to PCs. A partnership with Netflix could let Microsoft offer a much broader array of films than it does at the moment, but that approach might not mesh with the Xbox maker's managed-portfolio approach to Live Marketplace content.
There are also logistical issues. Would customers need to be Netflix subscribers to use the service? Would nonsubscribers be able to pay to rent single movies? What happens to the existing Live Marketplace movie service? Does Netflix have the rights to distribute its catalog of streaming films to consoles as well as PCs?
Finally, this is an emerging market. Netflix clearly wants to offer users downloadable films to watch on their TV sets, but it's unclear if the idea has passed the early-adopter phase and become a technology that customers are ready to embrace in large numbers. The Netflix survey could well be looking to simply establish how comfortable consumers currently are with the idea of HD-to-TV movie downloads, or if it's something they even think about.
The official story: "It is our policy to not comment on speculation."--A Microsoft representative.
Bogus or not bogus?: Netflix was already known to be looking at the notion, but the survey doesn't make it any more a done deal. Bogus for now.
Do the Gamespot writers even know what videogames are these days? Xbox Live Arcade? What does this article have to do with Xbox Live Arcade? Oh, they just meant Xbox Live, or perhaps Xbox Live Marketplace? I swear, where does Gamespot get these guys? It seems of late that half my time spent on this site is scratching my head over their incompetencies.
I see no reason why netflex can just do it with Media Center on the PC, and then you just stream right to your 360 that way. It's a run around MS that way. Not only that, you get not only 360 users, but PC users, and users of any of the other Media Extenders. Hell streaming HD content works great also, so why not. It may not be quite as simple as you need the PC to use with your 360 and linked together, so it's a little harder to get setup. With Netflex if your watching a lot of movies, it should be cheaper then though LIVE I would hope and the selection of movies far greater. Their combined total from both would be pretty large.
Questions.... If this deal DOES go through, will the current netflix subscribers get the option of viewing movies for FREE like we do now on PC's? Or will they get smart and charge even for the free contect we can get on our computers? It is the answer to this that will determine whether this will suceed or fail.
Sweet! I subscribe to netflix, so maybe I would be able to watch movies in hd on live without spending microsoft points (which I never use for movies).....
crossing my fingers on this one
Nice, XBLM is great , but does need MORE movies. A partnership could be the way to go to expand that library even further. It would seem logical that Netflicks would either make it free for current subscribers, and then offer a XBLM deal for a reduced cost. Chances are they won't do the reduced cost for a new subscription for just XBLM, they probably want to get you on the standard or normal plans, but this is still going to be great for XBL users if the deal is made/
Another possibility would be Netflix planning on "renting" Xbox 360 as a mean to play and use their services. DSL distributor Sympatico has such a deal with Microsoft, combining Xbox 360 machine rental with High speed internet service. Might be one of the strategy Netflix is considering...
this interests me. I think this is a fantastic idea. I'd be downloading movies all day and night onto my xbox. The possibilities are awesome! I would gladly get a netflix account for this service.
It would be nice to have a wider selection of movies. Just hope that if it goes through, that there's not another subscription fee for it.
I'm a netflix subscriber and have a 360, I would definitely be interested in this. I'd use their pc streaming service if it offered the movies in decent quality, but with many being in fullscreen aspect ratios or in low resolutions along with no 5.1 surround sound, it just doesn't appeal to me. If i could d/l them through live and they would be complete with the original aspect ratio and in HD quality with surround sound, I would use it a lot.
Hope it works in Canada
i have rented few movies on the xbox360 and now this with netflix i just dont know--i tend to stick with renting from my local videostore where i can pay for my movie 4 bucks each and keep them for 5 nights or rent them from netflix and get them in the mail--where i can keep the movies i get--hi def on blue ray or standard dvd and keep them as long as i want to ---as to where you have 14 days to keep on drive of 360 and 24 hours after hitting playy which to me is kind of laim---.
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..so netflix can do whatever the want with microsoft but i plan on keeping my rentals they way i am now
Live Arcade? I think they got that mixed up with the Live Marketplace. But anyway, this would really be an awesome idea! But the logistics as they talked about would really have to force them to redo how the system works. Would you rent them by the movie or would you have to get a seperate subscription? Gold members get a subscription cut for Netflix? This is just a survey that has caught the media's attention. But who's to rule out that this could be in the fall update later this year!
If Netflix or Microstoft are reading these posts. . . I'm a netflix member and would absolutely love to continue paying my Netflix membership fees and gain the ability to instantly download whatever movie I wanted to watch on my TV (instead of my 19 inch PC moniter). That would be WAY better than waiting a day or two to exchange your movies through the mail!
i hope this is true, i have netflix and live, it'd be so convient. i really hope this happens.
Very few of these movie download schemes impress me, but I love Live and Netflix. If they set up the opportunity to bring the Netlix on PC experience to Live, I'd be all over that. I don't want to watch netflix on my comp screen, but on my HD TV? Oh hell yes. This would make a FORTUNE for both companies, be a blessing to the consumer, and I hope it happens.
people pay for movies? lol
This would be awesome. I was considering getting NetFlix but with this being in digital form means i won't lose it and that makes sense for me. Lol Seriously it would be a great move for both companies and truly upgrade the whole marketplace.
it would way more awesome to sream the movie but i liked the dvd because i could watch it, my mom could watch it, her friend could watch it and there wouldn't be some 24 hr rental.
Doubt it. Microsoft likes to keep the closest thing to a monopoly for everything, in any way they can. That's why you can only use MS branded wireless controllers, wireless headsets, memory cards, hard drives, etc. So I strongly doubt they'll let their competition distribute right through their hardware.
On the other hand, Sony has been very open with it's platform. They license their technology away for wireless controllers (which may include rumble/sixaxis), they let you use any Bluetooth headset, any laptop hard drive, any flash memory, etc. They are very open with their hardware, and like to give users the opportunity to use the hardware they wish to use. It may not help them financially in the short run, but it's a nice thing to be able to advertise, and could very well help in the long run. So it wouldn't be that weird to Sony to team up with somebody like Netflix to do something like this. Even though they have their own movie distribution service in the work.
Maybe they'll make a deal with Netflix to make that their service, and maybe they can stream that through Home as well. You can see how the possibilities can exist on a PS3, but I highly doubt you'll see it happen with such a closed system like the 360.
WOW, this would be awesome. I love the idea of paying a subscription fee for movies. Netflix NEEDS to be made available to CANADIAN CUSTOMERS if this deal goes through though......
I would subscribe in a heartbeat......right now at Blockbuster in Canada, I pay 6 bucks for a new realease!!!!!! Oh man I hope Canada could get in on this..... if not NETFLIX, are you listening ZIP.CA??????
They still arn't taking enough initiative into getting all that content to other countries. They can't expect to do well if they only mainly support the US
This is an old rumor, I heard this one a month ago on 1up.
I just recently left Netflix a few months ago and in my departing survey I told them I would rather use XBL. Netflix touts 7,000 online films, but most of the films are obscure and low rated films anyway. They really only have about 100 films that anyone would really want to want and a bunch of tv shows which you can get for free elsewhere on the net. If MS could combine their streaming tech with the netflix installed base it may be something, otherwise netflix doesn't really bring anything to the table.
I use Xbox Live and Netflix so I would be very interested in this service.
Sounds cool, but I usually just watch movies on my laptop (the screen is better than my TV's!)
I'd do that if my roommate didn't already work at BlockBuster.
Doesn't affect me. I don't watch many movies. Its good news for other people though.
Ok cool, but why does it say they are eyeing XBL arcade?
As long as they do it for the customer and not to make more money like Microsoft do am down with it.
They're already developing IP TV for XBL with British Telecom, so this would seem the next logical step really. I just think MS should subsidise the cost of a 'Netflix' account by making better use of the subscription fee!
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