Netflix was already trading above $50 for much of the day. They may break $52 before their earnings report!

Netflix’s anticipated follow-up to distributing movie streams via Microsoft’s Xbox 360 Live is expected in the near future. That move will most likely be a partnership with the Sony PlayStation 3 system.

However, partnering with Nintendo would create a much larger potential audience, said an analyst.

Michael Pachter, with Wedbush Morgan Securities in Los Angeles, said the recent $100 price cut to the PS3 coupled with unit sales lagging behind rivals Xbox 360 and the Wii would make for a prime opportunity for Sony.


Pachter expects Netflix to raise 2009 revenue and sub guidance above current projections for revenue from $1.65 billion to $1.67 billion and subscribers of 11.6 million to 12 million.

“We believe that subscriber growth remains strong, driving revenues and gross profit higher, offset by higher streaming spending,” he wrote.

Indeed, Pachter said the increased revenue and sub base would afford Netflix the opportunity to increase spending on streaming content acquisition and marketing, the latter about $60 million per quarter.

“We expect the amount on streaming to inch up throughout the year,” the analyst wrote.

Separately, online investor advisor, The Motley Fool, said it expects Netflix to generate 39% earnings growth in the quarter, which it characterized as “not a surprise.”

Netflix reports financial results Oct. 22 following the market close.

http://www.homemediamagazine.com/netflix/analyst-netflix-announce-second-game-console-partner-soon-17347

If true I wonder how much they are going to charge for the app (because ms is paying netflix via gold fees). I can see netflix charging $50 or $100 for netflix if it comes to the ps3.

That said it would still be a good thing.... the quicker physical media dies off the better.

If true I wonder how much they are going to charge for the app (because ms is paying netflix via gold fees). I can see netflix charging $50 or $100 for netflix if it comes to the ps3.

That said it would still be a good thing.... the quicker physical media dies off the better.

I don't think Netflix is charging Sony or Microsoft. If anything, Netflix was paying Microsoft finders fees for new subscriptions.

Does anyone know when this might be announced?

Cool. I have it through the XBOX (and LOOOOOVE it), but I have the other two consoles as well so would love options.

And agreed. If anything Netflix will make a ton on new subscribers, so doubt they'd charge for an app unless Sony is worried about it cutting into the PSN store movie rentals. Which MS has as well, but I don't know if the Netflix has cut into those sales/rentals.

I hope the quality is better then netflix thru playon on the ps3.

I hope the quality is better then netflix thru playon on the ps3.

Well, the quality is (lots) better in the native 360 player than it is through PlayOn due to the native player using the best encodes Netflix has. I still use PlayOn for Hulu and whatnot though, which looks pretty good.

Plus, the native player supports the HD streams (which PlayOn does not), as well as FF and Rewind and whatnot.

So I would venture that if they would come out with a native player for another console, it would be similar in functionality/quality as the native 360 player.

Well, the quality is (lots) better in the native 360 player than it is through PlayOn due to the native player using the best encodes Netflix has. I still use PlayOn for Hulu and whatnot though, which looks pretty good.

Plus, the native player supports the HD streams (which PlayOn does not), as well as FF and Rewind and whatnot.

So I would venture that if they would come out with a native player for another console, it would be similar in functionality/quality as the native 360 player.

ACtually playon does support hd streams thru netflix on the ps3. I agree thou the native 360 player is 10x better then playon.

ACtually playon does support hd streams thru netflix on the ps3. I agree thou the native 360 player is 10x better then playon.

Sorry, but that's just wrong. You only get the option for HD streams if you have a registered device on Netflix, and only those devices can stream the HD offerings.

And it repeatedly comes up at Playon's forums, and the admins readily admit it.
http://www.themediamall.com/forum/general/general-discussion-amp-inquiries/does-playon-stream-netflix-hd-content-ps3

PS3 it is.

http://blog.us.playstation.com/2009/10/netflix-coming-soon-to-playstation-3/

If true I wonder how much they are going to charge for the app (because ms is paying netflix via gold fees). I can see netflix charging $50 or $100 for netflix if it comes to the ps3.


A bit less, actually. :)

And to be fair its not an app at all.... its a disc. Had it been an app I bet it would have cost something. :)

It is an app - in a disc.

It is an app - in a disc.

FWIW:
Michael Pachter of Wedbush Securities noted that the Blu-ray disc required for Netflix playback on the PS3 may circumvent exclusivity clauses instituted by Microsoft. "We believe that the exclusive arrangement limits Netflix's ability to appear on the 'dashboard' for the PS3 or the Wii."
http://www.joystiq.com/2009/10/26/netflix-is-coming-to-the-ps3/

Sorry, but that's just wrong. You only get the option for HD streams if you have a registered device on Netflix, and only those devices can stream the HD offerings.

And it repeatedly comes up at Playon's forums, and the admins readily admit it.
http://www.themediamall.com/forum/general/general-discussion-amp-inquiries/does-playon-stream-netflix-hd-content-ps3


You are right. I kept thinking I had watched the office on hd thru playon and netflix on my ps3 but I just realized that was using HULU.

FWIW:

http://www.joystiq.com/2009/10/26/netflix-is-coming-to-the-ps3/

Does that mean you will need to have the disc in the drive to use Netflix?

I guess it isn't a huge deal in the larger scheme of things, but that does sound like a bit of a pain compared to just launching the app whenever you want.

Does that mean you will need to have the disc in the drive to use Netflix?

I guess it isn't a huge deal in the larger scheme of things, but that does sound like a bit of a pain compared to just launching the app whenever you want.

Netflix was kind enough to answer a heap of nitpicky questions following the announcement that its steaming service would soon be available for PlayStation 3. Certainly, question marks hovered over the application "disc" and whether or not it would have to always be in the PS3 to use the Netflix streaming service. It turns out that Netflix won't have an integrated XMB solution just yet -- but it's coming.

Check out our interview with a Netflix representative for the full details:

Can the Netflix application be installed to the PS3 hard dive from the disc? Or must the disc be inserted every time a user wants to access Netflix?

Yes, the Netflix disc has to be inserted every time to access the Netflix service.



Why a disc-based application and not streaming access through the PS3 browser?

Netflix members and PS3 owners have really wanted a way to instantly watch movies and TV episodes streamed from Netflix via the PS3 system. The instant streaming disc represented the fastest and easiest way to let them do this.



Why not distribute the application via PSN download or firmware update, and then embed it into the XMB?

Again, the instant streaming disc represented the fastest and easiest way to let PS3 enthusiasts get Netflix on the PS3. Late next year we expect to have an embedded solution available for PS3s via a system software update slated for release through the PlayStation Network.



Is releasing the PS3 application on a disc required by an exclusivity agreement with Microsoft?

The Netflix agreement with Sony for PS3 is consistent with the terms of our partnership with Microsoft for Xbox 360. Our goal is to give members the opportunity to instantly watch movies streamed from Netflix via the widest variety of Netflix ready devices. All of our partners are aware of our goal.



Can users search the entire Netflix streaming library from the PS3? (On Xbox 360, browsing is currently limited to 100-movie categories.)

Similar to Xbox, subscribers can search lists of movies in categories such as New Releases, Drama, Action, Comedy, etc., and will have access to the entire library available to watch instantly.


Are there more features being planned for a future update?

Again, late next year we expect to have an embedded solution available for PS3s via a system software update slated for release through the PlayStation Network.
http://www.joystiq.com/2009/10/26/netflix-ps3-disc-must-remain-in-system-until-2010-update/

Netflix coming to PlayStation 3 next month is good news for PlayStation 3 owners (and Xbox 360 users whose primary reason for a Gold membership has been easy Netflix streaming access). But several questions about Netflix coming to Sony's platform weren't answered in the announcement release. Is there HD streaming? Why do I need a disc to access it?

I spoke with Netflix's VP of corporate communications Steve Swasey on the phone this morning to clarify these points and others. Again, good news: you should be happy with these answers, too.

Yes, Netflix on PlayStation 3 supports HD streaming. The entire Netflix streaming catalogue -- HD or not -- that's currently available on the PC, via Netflix-supporting TVs and, yes, through Xbox 360 will be available for PlayStation 3 users on day one. Swasey admitted Netflix's streaming catalogue isn't nearly as vast as its disc catalog, but said it's something they're actively expanding every day.

At the outset, in order to access Netflix on your PlayStation 3, you'll need to pop in a disc. The disc is free and yours to keep. All you need to do is ask for one and keep it nearby when you want to access Netflix streaming. That's not permanent. Swasey confirmed Netflix will have an "embedded solution" (i.e. a proper application, ala Xbox 360) "at some point," but couldn't say when.

Swasey wouldn't comment on speculation that it's a disc-based solution at the moment to get around whatever exclusivity contract the company currently has with Microsoft. Regardless, PlayStation 3 users will eventually have a more elegant way to access Netflix that doesn't require a disc, but according to Swasey, this was the "fastest and easiest way to get PlayStation 3 members now."

Netflix has not announced a specific date for when it will start shipping the Netflix-enabling Blu-ray discs for PlayStation 3 owners, but it's happening sometime in November. If you want to be at the top of the list, I recommend linking your account right now.
http://g4tv.com/thefeed/blog/post/700212/More-Netflix-On-PlayStation-3-Details-HD-Streaming-Eventually-No-Disc-Required.html