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Netflix Saga

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Kim and John discuss the announcement this week that Netflix has created a spin-off company called Qwikster which will be its new DVD-by-mail service leaving the Netflix business as streaming-only. This was supposedly partially their response to customers outrage over price hikes for their DVD rental service.  CEO Reed Hastings and Andy Rendich, who will head up Qwikster, also put out an online video directed at consumers to explain the new service and apologize for not communicating the changes in the price structure more clearly. Still, he added that the price hike will remain in effect.

 

 

 

 

Credits

Host:
Kim Masters

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