Netflix prepping cheap set-top boxes for your living room?

We've heard talk of a Netflix set-top box before, and while those "end of the year" rumors (as in 2006) didn't exactly pan out, it looks like the company is still keen on the idea, at least according to an individual who claims to have participated in a recent focus group on the subject. Supposedly, Netflix demoed two different boxes that stream content from the company's "Watch Now" service via an Ethernet or wireless connection, each of which were apparently still in rough prototype form. The only difference between the boxes, it seems, is added Component and HDMI connections on the $100 "Enhanced" model, as opposed to just Composite and S-Video on the standard $50 model, although there isn't any actual HD content (at the moment) to stream to either of 'em. While we'll obviously have to wait and see if any of this actually pans out, it certainly seems to be in line with Netflix's recently announced "Internet TV" division, which has already made its living room intentions pretty clear.

[Bill @ Jun 29th 2007 3:22PM]

A nice value-added feature I'd pay $50 for. As long as my monthly Netflix bill doesn't go up. The "Watch Now" works pretty well on my PC, though I wish all their content was available for immediate viewing.

[R1cebrner @ Jun 29th 2007 3:25PM]

Watch your videos with out waiting for the mail. Most delivery is still with in one business day!!!

[Sean @ Jun 29th 2007 3:31PM]

Moviestar.ie gave everyone a free DVD player, with the apx cost of $18 per person if they signed up to their DVD rental-by-mail service. Could Netflix somehow give these to their users for free?

[Wiserun @ Jun 29th 2007 3:51PM]

We'll probably see an option to subsidize, like cell-phones are now. Two year contract, free. Month-month, you're buying it straight out.

I like the Amazon Unbox on Tivo, especially with the $.99 specials they've been running every weekend. Rent it at work, ready when I get home.

[adam @ Jun 29th 2007 6:36PM]

The boxes are probably already heavily subsidized. There is no way a set top box capable of streaming live video costs less than $50. I would estimate $100-$200, with the enhanced model having a $10-20 extra cost.

[Ordeith @ Jun 29th 2007 3:39PM]

I want a netflix blade on my Xbox 360

[Patrick @ Jun 29th 2007 3:44PM]

Yes, please

[gibber9583 @ Jun 29th 2007 3:45PM]

not bloody likely

[Ordeith @ Jun 29th 2007 3:48PM]

gibber:

and why not? Reed Hastings does sit on Microsoft's board, after all.

http://www.microsoft.com/Presspass/press/2007/mar07/03-26HastingsPR.mspx

[gibber9583 @ Jun 29th 2007 4:05PM]

They would be placing 2 competing products on 1 system? That makes no sense. I would be willing to bet substantial amounts of money that this never happens.

[Paul @ Jun 29th 2007 4:13PM]

XBL Netflix Marketplace Features:

1. Able to keep 3 movies on your box at any given time. Keep for as long as you want. Watch as often as you want.
2. Once you delete a movie, XBL will start downloading the next item in your Netflix queue automatically

Microsoft wins by gaining a HUGE Netflix customer base/movie catalog
Netflix wins by delivering something Blockbuster can't touch
Customers win because we don't have to wait for our next movie to be shipped via mail

USPS loses yet another customer to the internet
Both Blu-Ray and HDDVD become insignificant

[gibber9583 @ Jun 29th 2007 4:36PM]

You are assuming all Netflix users have a 360......

yes, it would be nice.
is it realistic....No.

Netflix is a direct competitor to MS's live marketplace. It makes no sense whatsoever for them to put this on their service.

[Brian @ Jun 29th 2007 5:17PM]

Yes! That's brilliant!

Microsoft could buy the controlling share of Netflix, trade out their in-house video marketplace solution with Netflix, and it would damn near put Best Buy out of business.

C'mon Netflix! Millions of these white boxes have already been sold, let's look at the big picture!

[Paul @ Jun 29th 2007 5:06PM]

gibber9583,
You don't think Netflix might gain a few customers by using a pre-existing device? You think Netflix (a bunch of web developers) will have an easy time developing a set top box that securely delivers their movies? You think movie studios will even trust Netflix to transport their content this way, safely? Remember, this isn't a low-def stream like their current offering. Doing this properly could deliver full fidelity content.

Personally, I think Microsoft is the perfect ally. Their (still uncracked) 360 is the best chance customers will have at a device like this. Movie studios are the big unknown, but I think it's safe to say no movie company will be allowing their precious media to be delivered unless they know it'll arrive safely, and fully DRM'd.

Yes, Microsoft already has a similar service. But let's face it, the video marketplace is a great V1 product, but they are in desparate need of a larger movie catalog and user base. I think it's in both companies best interests to combine forces here.

[gibber9583 @ Jun 29th 2007 5:24PM]

While I agree this is a great idea especially since the fact this 'set top box' would already be pre-isntalled and readily available to the public, i just dont think it is likely. The only way this would happen is if MS bought out Netflix and incorporated it into their Marketplace service....

Just not a likely solution!

[Andrew @ Jun 30th 2007 8:22AM]

I guess Blockbuster gets PS3 ;)

[gfkjr @ Jun 29th 2007 3:57PM]

I would definitely use this service, especially if it used the subscription model. That's my only gripe with Amazon Unbox is I can get the movies cheaper with Netflix. Of course, these recent 99 cent rentals from Amazon are pretty sweet.

[Jon @ Jun 29th 2007 4:08PM]

This sounds good and all but I really would like HD movie downloads. It's difficult to go from watching HD-DVD movies to sub 480p Netflix video.

[patsy @ Jun 29th 2007 4:12PM]

This would be a lot more exciting if Netflix actually had worthwhile movies in their Watch Now repertoire. As is it's mostly just a huge pile of wanna-be B movies. I slogged through most of the titles one night earlier this week, and out of supposedly 3000+ titles I had heard of maybe 30 or so. I ended up watching Ghost In The Shell, but that's about the only thing I could find of any interest.

[Chris @ Jun 29th 2007 4:18PM]

Yeah A for effort w/ the whole watch now thing, but I can't watch it because it's only a windows application! How hard would it be to put it in quicktime too?

[Matt E. @ Jun 29th 2007 4:19PM]

Why not some type of licensing deal wih TiVo? Or make some widget that works with MythTV?

[Matt E. @ Jun 29th 2007 4:50PM]

I forgot to mention M$ Media Center, too. The point being, we don't need yet another box ontop or below our TV sets. Enough already!

[MegaZone @ Jun 29th 2007 4:24PM]

Yet Another Box.

I don't want YAB to deal with. NetFlix needs to partner with someone - TiVo, Sony, Microsoft, Nintendo, Linksys, etc. Someone with a box already in homes - preferably multiple partners. There are too many people developing YAB - Divx, Vudu, Netflix, etc. Moviebeam and Akimbo finally bailed out of the box market, and now we have more people looking to replace them. Great.

[scurvy @ Jun 29th 2007 4:31PM]

How about a Netflix online offering that doesn't suck like the current offering?

1) Must support Media Center like Amazon Unbox
2) Must be flat-fee all you can eat

[mir @ Jun 29th 2007 5:22PM]

AppleTV + Netflix = Cancel Cable

[Josh @ Jun 29th 2007 6:15PM]

This doesn't make sense. Watch Now is on the web. All the video game systems have browsers. Netflix needs to get their head out of their ass and make it compatible with the PS3, Xbox 360, and the Wii. How hard is that?

[HaX80r @ Jun 29th 2007 7:07PM]

*Buys set-top-box*
*Plugs S-video out into Video Capture card*
*Streams countless movies*
*Records said streamed movies(
*Burns equally countless DVDs*
*Floats printed-out MPAA logo in toilet and desecrates it*

[Paul @ Jun 29th 2007 8:41PM]

Maybe instead of working on these dumb set-top boxes, they should work on making Watch Now work in something besides Internet Explorer on Windows.

[GamerGrl @ Jul 3rd 2007 9:27PM]

Did anyone ever think that maybe the limitations Netflix has to deal with are due to legal issues? Maybe they use DRM because the studios who own the titles wanted DRM? Maybe Apple wont allow DRM on there machines? Maybe the limited titles is also out of their hands? Maybe the studios who own the streaming content are picking and choosing what titles they want to allow Netflix to use?

Why does everyone have to blame Netflix?