Originally Posted by gregzoll
Michael we all understand that, so why keep repeating.
I repeat this because you repeated your claims. If you say something that I disagree with in a thread that I follow I'll probably post to dispute it.
You will also find that the numbers are very low of those users using Windows 8 actually, along with even using the Netflix Metro app itself for watching content. Most people either will use a stand alone delivery device, Blu-Ray player, PS-3, Xbox, Wii, tablet or smartphone for watching, if they do not use a laptop or desktop, with the laptop becoming the most common by users for home computing now.
Two years ago a Nielsen study found that 42% of Netflix customers stream to their PCs. That number has probably changed some since but my guess is that it's still high. I use the Win8 app because, using the Windows Resource Monitor, it's easier to get isolated specific connection information. It's also currently the only Windows Netflix player which can play the 1080p encodes and DD+ sound when available (they're replacing Silverlight with an HTML5 player which will at least be able to stream 1080p). You can do the same type of experiments using the Win7 version of the Resource Monitor (it hasn't changed much) while streaming Netflix from the Silverlight web site player. It really doesn't seem to matter; all the other platforms open connections on servers in the same set of CDNs.
I found "Unreeling Netﬂix: Understanding and Improving Multi-CDN Movie Delivery
", a research paper delivered at an IEEE conference in 2012. They did the same thing that I did (in a much more methodical fashion), playing Netflix streams and observing what connections the players open on what servers. They only observed what happened when playing Netflix streams in the web site player; I got much the same results looking at what happens on other platforms. From their paper:
- Amazon cloud. Except for www.netflix.com which is hosted by Netﬂix, most of the other Netﬂix servers such as agmoviecontrol.netflix.com and movies.netflix.com are served off the Amazon cloud .  indicates that Netﬂix uses various Amazon cloud services, ranging from EC2 and S3, to SDB and VPC . Key functions, such as content ingestion, log recording/analysis, DRM, CDN routing, user sign-in, and mobile device support, are all done in Amazon cloud.
- Content Distribution Networks (CDNs). Netﬂix employs multiple CDNs to deliver the video content to end users. The encoded and DRM protected videos are sourced in Amazon cloud and copied to CDNs. Netﬂix employs three CDNs: Akamai, LimeLight, and Level-3. For the same video with the same quality level, the same encoded content is delivered from all three CDNs
(Emphasis added). These guys went further and sniffed out packets which rank the content streaming CDNs in order of preference. Like me, they came to the conclusion that while Netflix makes extensive use of Amazon CDN servers they do not directly stream content from them.
When Netflix announced Open Connect and their intention to eventually drop the use of the commercial CDNs in mid 2012, shares of Limelight, Akamai and Level 3 all took a hit. Except for Limelight, whose revenues from Netflix are estimated to be 11% of their gross (they're the smallest of the three), the loss of Netflix's business is not expected to have much long term impact. Since it's expected to be years before Netflix drops the use of these CDNs Limelight has plenty of time to deal.
Even if all ISP's decide to go with the Open Connect CDN, still it comes down to that Netflix cannot handle the demand that the end users are placing on their servers, and all networks that traffic has to pass through. That is why I keep stating that it is not a ISP issue or platform issue, it is a provider issue (ie Netflix), that is the problem.
When an ISP gets set up for Open Connect they get directly connected to Netflix's CDN at one of the peering locations; traffic between them and Netflix does not cross other people's networks. Additionally large ISP networks can install Netflix caches in their networks and if what a customer wants to play is in one of those caches it gets streamed from within the WAN without crossing the Internet at all. Netflix claims a 70-90% hit rate on those caches, depending on the country. If all of the ISPs set up for Open Connect access and installed those edge cache servers in their WANs it would result in a massive reduction in Netflix traffic on the Internet. Unfortunately the largest of the ISPs offer competing network video services (and/or have strong ties to one or more of the commercial CDNs); convincing them to take action which will improve Netflix's service is not easy.