Roger Ebert: Netflix, Hastings Get it Right

Netflix's recent moves may have been exceedingly clumsy, but the heavy focus on streaming is the way to go, says film critic Roger Ebert

Poor Reed Hastings. The Netflix chief executive had a service so widely used that it accounted for a huge slice of evening Internet traffic. His customers and profits were growing quarter after quarter. And then, as he was taking his victory lap, a piano fell on him out of the sky. He unexpectedly announced that he was dividing DVDs-by-Mail and Instant Streaming into separate services; that essentially doubled the price if you wanted them both. When customers screamed with outrage and his stock price fell, he issued an apology that confused them even more, and the stock moved still lower.

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