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NWR Interactive => TalkBack => Topic started by: TalesOfFan on January 27, 2012, 12:10:07 AM

Title: Netflix Cancels Plans for Video Game Rental Service
Post by: TalesOfFan on January 27, 2012, 12:10:07 AM

Netflix is no longer going to offer video game rentals, but they may begin 3D streaming.

http://www.nintendoworldreport.com/news/29097

Netflix has dropped their plans to offer video game rentals. This comes just months after they revealed that they would not be splitting their DVD and streaming services. The video game rental service was to be part of the new company, Qwikster; however, with it no longer planned, it seems that Netflix has decided to cancel any plans for game distribution in the immediate future.

Additionally, Netflix CEO Reed Hastings announced that the company is looking into 3D streaming to supplement their 3D Blu-ray rentals, though he did not specifically mention if there would be 3DS compatibility.

Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: Ceric on January 27, 2012, 12:23:28 AM
I would take 3D streaming and I have Blu-Ray rental and haven't seen 3D be an option yet.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: TJ Spyke on January 27, 2012, 12:35:41 AM
Sorta off-topic, but right now a search for "Netflix 3D Blu-ray" on Amazon News is this article.

I didn't know Netflix had 3D Blu-ray Discs, and couldn't find anything on Google. Doesn't matter, I don't have Netflix anymore and even when I did I refused to pay the extra fee to get Blu-ray Discs.

Guess Netflix didn't think it would be profitable to add games.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: nickmitch on January 27, 2012, 01:12:30 AM
They probably just ran out of capital to start up a new business line, after the year they had. Maybe this means they'll consider buying gamefly. I think the two could have a lot of synergies.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: StrawHousePig on January 27, 2012, 09:31:54 AM
Wanna see me run to that mountain and back? Wanna see me do it again?


If they would have counted as a DVD I would have been all over the game rentals. C'est la vie.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: MagicCow64 on January 27, 2012, 10:32:47 AM
I've read elsewhere that Gamefly is probably not a hugely attractive business to emulate. Last I checked, they do no release subscriber numbers and they're barely breaking even. I canceled my account four or five months ago, because the games kept on not showing up. Because they were clearly being stolen. Because they came in bright orange Gamefly envelopes.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: NWR_insanolord on January 27, 2012, 03:28:19 PM
Netflix already has the infrastructure in place to do games, though. It doesn't seem like it would add much in the way of cost to do it; the real expense of an operation like this is the network of shipping centers, which they already have. I went streaming only about a year ago, but I'd have probably started doing discs again if they had started doing games as well.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: Ceric on January 27, 2012, 03:39:12 PM
Without the streaming business the Game rental scene becomes more attractive. 
With streaming its some new logistic with a medium that costs more and now there is major hinting of making the ability to rent games go away in the next gen.

I wouldn't get into Game Rental.  Be better to spend the resources trying to expand there streaming offering.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: NWR_insanolord on January 27, 2012, 03:55:00 PM
Quote from: Ceric on January 27, 2012, 03:39:12 PM
I wouldn't get into Game Rental.  Be better to spend the resources trying to expand there streaming offering.

What I'm arguing, though, is that offering game rentals could be a net positive, giving them more money to make streaming deals with. Obviously they don't think so, though, or else they'd have done it.
Title: Re: Netflix Cancels Plans for Video Game Rental Service
Post by: Ceric on January 27, 2012, 04:01:02 PM
Quote from: NWR_insanolord on January 27, 2012, 03:55:00 PM
Quote from: Ceric on January 27, 2012, 03:39:12 PM
I wouldn't get into Game Rental.  Be better to spend the resources trying to expand there streaming offering.
What I'm arguing, though, is that offering game rentals could be a net positive, giving them more money to make streaming deals with. Obviously they don't think so, though, or else they'd have done it.
I would counter argue that they have gotten there DVD system down to a science and when something is that tuned even what should be minor changes like adding a new media type can throw things for a very costly loop.

Also Gamefly is just breaking even from what I heard.

Unfortunately neither one of us will ever be in a position to really know.  Though we be making good money if we were.