Are you looking through the lists of upcoming DVD’s for hot titles to add to your Netflix queue? As of this month, you may have to wait a bit longer beforethat magical red envelope arrives in your mailbox.
Netflix has announced a deal with Warner Bros that will delay the availability of WB titles on Netflix by one month in an effort to increase the studio's waning DVD profits. With this new deal, Netflix (and up-and-comer redbox) won’t be able to rent out a movie until is has been available for purchase for 28 days.
The upside for Netflix and the consumer: With this new deal, Netflix will receiving more copies of movie, and will have available a much larger selection of movies for the instant viewing feature, which Netflix is pushing hard on Blu-ray players and game consoles like the X-Box 360 and PS3. A larger selection of On Demand content is a positive development for the consumer.
Currently, redbox is fighting this in court, but Netflix seems to be looking at the bright side for them and accepting the new limitations.
How long before the other studios follow suit? And will this result in you buying more DVDs? Or will you simply wait the extra month to rent them?
This article appears in Jan 6-12, 2010.