A great move for Netflix's cost structure, but customers lose one key service: the integration between disk and online queues. Having a movie show up in either queue is extremely helpful. Now queues require separate management. The joy of suddenly discovering a buried disk has become available on Watch Instantly is gone, too.
Not good, Mr. Hastings.
HD streaming works poorly due to Silverlight's janky integration. Streaming videos have been hanging, off and on, on the LG Blu-Ray player. And many of the transfers to the streaming service are, to put it mildly, crude. Black and white movies are often so compressed they're unwatchable (Murnau's Nosferatu, for example).
Could it get worse? Well, the new service's name, Qwikster, sounds like Amway's multi-level marketing scam Quixtar. Customers are unamused:
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Upsets Users Further - PC World
"Quickstupid" - CBS News
Comments at WSJ's article site - Wall Street Journal (may require subscription)
From: Reed Hastings, Co-Founder and CEO of Netflix
[mailto:info@netflix.com]
Sent: Monday, September 19, 2011 12:04 AM
Subject: An Explanation and Some Reflections
Sent: Monday, September 19, 2011 12:04 AM
Subject: An Explanation and Some Reflections
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Usage caps bring up an additional point: does "usage" discount advertising? Simple tests with AdBlock Plus show that 20-25% of a commercially-supported web page comprises ad data. Likewise the streaming ads injected in movies and television programs, although streaming ads are proportionately smaller.

