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Netflix: $5.00 X 23,000,000 = More than chump change

Yesterday, Netflix announced new pricing for its subscription DVD rental service, one that represents a substantial increase. Subscribers to its streaming service will still pay $7.99 a month for unlimited content, but DVD rentals will also cost $7.99 a month, up from the $2 surcharge streaming content subscribers had been paying. Customers are furious.

There's a lot of talk about the whys. Some surmise that negotiated contracts are expiring and studios and networks will soon be raising fees charged to Netflix, and Netflix is just passing along the costs. And there's some chatter about how Netflix is taking advantage of its position as the market leader to squeeze more money from loyal subscribers.

On both of these points I call bulls...t.




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Topic - Netflix: $5.00 X 23,000,000 = More than chump change - mr grits 22:33:14 07/13/11 (10)

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