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Netflix Grabs 61% of U.S. Digital Movie Market, Apple at 4%

Netflix is way better then using iTunes to rent movies or tv shows, I've got it myself, the part that sucks is that if your in Canada there isn't as big of a selection of movies or tv shows, a lot of it is available only in the U.S... Still there is a decent amount, just much better for people in the U.S.

Not surprised that Netflix has 61% of digital movie market..
 
Yet I'm guessing a majority of people watch Netflix on Apple devices.
 
With Google and Amazon now streaming... I can see Apple buying Netflix. Gotta get market share, gotta get a lead or you're dead.

Netflix is like Apple with regard to huge customer satisfaction and loyalty. Also reminds me of Tivo back in the day. A total love affair and happy to pay.
 
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nigelly said:
is it just a coincidence that 61% of Netflix's selection sucks big time?
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This is why they went uncontested and not taken seriously by the competition... all the while they were sucking up market share and building their brand. As the business model evolves to allow better titles, Netflix will continue to have a massive lead.

Apple needs to buy it at least as a defensive move, Google, MS, AMZ would be eye balling it, too.
 
I liked Netflix for DVDs through the mail. I absolutely HATED their streaming service. Horrible player software and old old old content. I've been VERY happy with Hulu and Boxee and will continue to use these two until something better comes along.
 
Slix said:
Yet I'm guessing a majority of people watch Netflix on Apple devices.
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You should back that up by looking at the number of Netflix-enabled TiVos, BD players, set top boxes, Internet TVs, media center extenders and Windows HPTC systems that have been sold - vs the number of Netflix-enabled AppleTVs.

Your "guess" may be completely wrong. Let us know when you have some facts.
 
I use Netflix on my Apple TV constantly. I've yet to rent anything from iTunes. The pricing is just ridiculous.

As for a lack of selection on Netflix, I don't care enough about or watch enough movies to care. I go outside sometimes. Just like I don't have to have the latest iPad, I don't have to see the latest movie. Having to see/have the latest and greatest is the best marketing scheme ever devised that people fall into without even thinking about how silly it is.
 
Slix said:
Yet I'm guessing a majority of people watch Netflix on Apple devices.
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Mobile devices yes, overall probably not even close.

Xbox 360: number sold as of Nov. 2010: 21.9M in NA, 45M worldwide (source: NPD)
PS3: number sold as of Sept. 2010: 16.6M in NA, 41.6M worldwide (source: Sony)
Roku: expect to reach 1M sold by end of 2010 (source: Roku)
Netgear Roku: number sold to date, too early to know
Apple TV: number sold as of December 2010: 1M (source: Apple)
Sony Netbox: number sold to date, too early to know
Boxee: number sold to date, too early to know
Logitech Revue Box, Sony Internet TV: number sold to date, too early to know
WD TV Live/Live Hub: number sold to date, no data released. I estimate less than 2M combined
TiVo: number sold to date: I estimate 750K TiVo HD units (source: estimate based on TiVo’s subscriber #s of 1.4M)
Broadband enabled TVs: iSuppli predicts almost 23M by 2013, TDG predicts 43M by 2014, DisplaySearch predicts 31M by 2013, Samsung predicts 20M by 2012
Broadband enabled Blu-ray players: as of October 2010, the total installed base of Blu-ray Disc playback devices in the U.S. was 21.1M. What percentage of those are "broadband enabled" is not known.
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Read more: http://www.businessinsider.com/ther...lling-1m-apple-tv-units-2010-12#ixzz1Gj24Ao22

Adn that does not include the 30mil wii's out there as well in just the US.
 
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eye said:
I use Netflix on my Apple TV constantly. I've yet to rent anything from iTunes. The pricing is just ridiculous.

As for a lack of selection on Netflix, I don't care enough about or watch enough movies to care. I go outside sometimes. Just like I don't have to have the latest iPad, I don't have to see the latest movie. Having to see/have the latest and greatest is the best marketing scheme ever devised that people fall into without even thinking about how silly it is.
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how about falling into a category of advertising as if they have superb content by saying you can stream unlimited from thousands and thousands of titles. when in fact, the content is pretty awful. I think a lot of people are just settling with what is on there instead of going with stuff they actually want to watch.

You may call it the latest and greatest....but i don't want to watch a 10 year old movie that i saw.... TEN years ago. Netflix streaming isn't even worth the cheap $7.99 pricetag it has.
 
To me, you've described Itunes....

rmhop81 said:
I think a lot of people are just settling with what is on there instead of going with stuff they actually want to watch.
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That's roughly my take on Itunes. No 1080p. Nothing that's not horribly over-compressed. A bloated pig of an application to access the stuff.

It's "what's on there", not "what I actually want to watch".
 
rmhop81 said:
how about falling into a category of advertising as if they have superb content by saying you can stream unlimited from thousands and thousands of titles. when in fact, the content is pretty awful. I think a lot of people are just settling with what is on there instead of going with stuff they actually want to watch.

You may call it the latest and greatest....but i don't want to watch a 10 year old movie that i saw.... TEN years ago. Netflix streaming isn't even worth the cheap $7.99 pricetag it has.
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61% of the digital movie market disagrees.
 
AidenShaw said:
That's roughly my take on Itunes. No 1080p. Nothing that's not horribly over-compressed.

It's "what's on there", not "what I actually want to watch".
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you must be an old movie fan then. apple tv has plenty of new titles out. netflix streaming barely has any.
 
but...

rmhop81 said:
you must be an old movie fan then. apple tv has plenty of new titles out. netflix streaming barely has any.
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How many of the "new titles" are in BD-quality 1080p?

Apple Fail.

ps: Most Netflix movies that I get are BD discs. I'll download trash, and rent fluff - but buy the BD disc for anything that I think that I'll might want to watch a second time. Mid-term to long-term, a BD disc is cheaper than maintaining 50 GB of RAID-5 storage.
 
The Netflix app in App Store is free, and there are no in-app purchases that I'm aware of. It is an "access existing account services" app, a bit like Comcast's XFinity app. So I don't think Apple can take their 30% cut (this is for the person that mentioned it.)

I have used Netflix a couple times on my iPad and iTouch, but mostly use it on my PS3. I only own a few DVD's, but mostly Blue Rays (which I also view on my PS3.) but I do believe we're moving further away from physical media. I think most people will be alright with that, as long as they can store a copy of their purchases somewhere, like a usb hard drive. The remaining issue with this is DRM (digital rights management.) I still can't use all the music I had purchased many years ago in Windows Media Player. Anyhow, perhaps Blue Ray's will become a form of backup media, depends on the size and price per GB with larger capacity usb drives/sticks.

I can't see Apple competing with Netflix, the Apple tax is too high, it wouldn't cut it (for Apple) if they were to try and match Netflix's price point.
 
This makes sense. Netflix has an established model that has been proven and works really well, the online service is a bonus and that also works really well with some pretty well known devices.

Apple's service uses a flaky device that they've changed drastically 3 times now and every time it's glitchy and just doesn't work. You can blame it on the studios if you want, but it's epic fail.
 
AidenShaw said:
How many of the "new titles" are in BD-quality 1080p?

Apple Fail.

ps: Most Netflix movies that I get are BD discs. I'll download trash, and rent fluff - but buy the BD disc for anything that I think that I'll might want to watch a second time. Mid-term to long-term, a BD disc is cheaper than maintaining 50 GB of RAID-5 storage.
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so netflix now streams 1080p blu ray quality? no....they don't. Netflix Fail! You are now comparing AppleTv streaming to Netflix Blu Ray service....not a fair comparison.
 
tkingart said:
The Netflix app in App Store is free, and there are no in-app purchases that I'm aware of. It is an "access existing account services" app, a bit like Comcast's XFinity app. So I don't think Apple can take their 30% cut (this is for the person that mentioned it.)

I have used Netflix a couple times on my iPad and iTouch, but mostly use it on my PS3. I only own a few DVD's, but mostly Blue Rays (which I also view on my PS3.) but I do believe we're moving further away from physical media. I think most people will be alright with that, as long as they can store a copy of their purchases somewhere, like a usb hard drive. The remaining issue with this is DRM (digital rights management.) I still can't use all the music I had purchased many years ago in Windows Media Player. Anyhow, perhaps Blue Ray's will become a form of backup media, depends on the size and price per GB with larger capacity usb drives/sticks.

I can't see Apple competing with Netflix, the Apple tax is too high, it wouldn't cut it (for Apple) if they were to try and match Netflix's price point.
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over the next couple of years if netflix improved their content drastically, you wouldn't need to buy anything. You could just save all your favorite movies in your queue and watch instantly whenever you want.
 
even with the "limited" streaming content i still used it to watch movies and tv shows i would have never tried otherwise or flat out missed all together..


plus dont forget itunes gets new releases pretty quick for rent so using both together was everything i needed
 
rmhop81 said:
over the next couple of years if netflix improved their content drastically, you wouldn't need to buy anything. You could just save all your favorite movies in your queue and watch instantly whenever you want.
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It is less about netflix and more with the studios. They do not want someone to have that type of control over what they consider their product. I am sure netflix would rather stream everything. They made them do the 28 day thing thinking more people would buy the movie. Well in my experence people are either buyers or renters. And those that will buy will buy anyway and those that rent don' buy very often. Studios seem to have a giant disconect with their customers. My wife and I stopped going to the movies quite a few years ago and started buying blu-rays. Most movies even blind buys cost less than going to the theater.
 
FriarNurgle said:
How about the fact that Apple TV is the cheapest way to get Netflix on your TV?

I've yet to rent anything from Apple with our ATV and probably never will... unless I find myself sitting on a bunch of unused iTunes gift cards.
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It's not the cheapest. There is Roku. Moreover, most TVs and BluRay players nowadays can do netflix, so people essentially get netflix device for free.
 
jmcrutch said:
You might like optical media and there's nothing wrong with that, but to deny that its death is imminent is nonsensical.

Show me 10 teenagers who listen to music on optical discs. Those teenagers (who only listen to music via harddrives and solid state drives) will grow up and become adults who have children, none of whom will ever own a single optical disc of anything.
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Jim you do know that 8track tapes beat digital album sales?
http://digitalfool.wordpress.com/2011/03/03/8-tracks-beat-digital-album-sales/

Digital Music not growing like you want us to believe:

Nielsen: U.S. Digital Music Sales Flat In 2010
http://www.huffingtonpost.com/2010/09/27/digital-music-sales-flat_n_740772.html

Digital Music sales declining by 1% here and in decline in Japan:
http://www.billboard.biz/bbbiz/industry/digital-and-mobile/digital-music-sales-decline-in-japan-industry-1005060572.story

A majority of music is still being sold on optical disc. Sorry to burst your bubble. Billions are still being spent every year on optical media for hollywood output as well. Maybe in your neighborhood of make believe digital download music is taking over but here in reality its not.
 
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rmhop81 said:
so netflix now streams 1080p blu ray quality? no....they don't. Netflix Fail! You are now comparing AppleTv streaming to Netflix Blu Ray service....not a fair comparison.
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Where's the Apple BD service?

Not there, then that's an Apple fail.

If Netflix will deliver BD, and Apple gives horrendously over-compressed 720p - that's an Apple fail.
 
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_2_1 like Mac OS X; en-us) AppleWebKit/533.17.9 (KHTML, like Gecko) Mobile/8C148)

Are we ignoring the fact that Apple gets quality stuff while, Netflix has all the crappy old movies and calls them "new releases" on instant
 
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