Netflix picks Blu-ray, good luck renting an HD DVD soon

In what can only be classified as yet another crushing blow to the embattled HD DVD camp, rent-by-mail giant Netflix has just announced its intention to only stock Blu-ray titles in the future. Netflix justified its decision by pointing out the fact that most Hollywood studios seem to be converging solely around the Sony-backed format -- a fact that's all too familiar to Toshiba and friends. With both Blockbuster and now the 'Flix having eschewed HD DVD for BD, it's gonna get harder and harder to even find a place to rent those former discs in the first place, let alone one that has a decent selection.

Update: It looks like all hope is not lost for HD DVD renters. Not only does Blockbuster Online still carry titles in the endangered format, but Netflix should continue offering a limited selection of discs until current stock is phased out around the end of the year.

[Joshua @ Feb 11th 2008 8:52AM]

If this is true then I'm cancelling my service. I'd rather buy HD movies via my Xbox live.

[Chebwa @ Feb 11th 2008 9:36AM]

You are canceling your Netflix because they stopped carrying HD-DVDs?

O_o

[kal326 @ Feb 11th 2008 9:54AM]

Ditto, I am canning my Netflix subscription now too. The only reason that I was keeping them around was that I could get HD-DVD versions of any movie that was available for the movie I wanted. That would explain why the latest movies I have been getting from them have all been DVD. Oh well maybe if the PS3 drops another $100 or more I may consider picking one up to play movies.

[Boostjunkie @ Feb 11th 2008 10:21AM]

I think they just don't care if a few HDDVD diehards cancel their subscription. It's just not worth the trouble carrying disc for a dead format. Just do like I did and sell your drive on ebay and get a PS3 for $299 after $100 back on a Sony card. You know you'll never cancel your subscription anyway.

[Electromodo @ Feb 11th 2008 10:41AM]

I use Blockbuster which still carries HD-DVDs (about 300 titles). Engadget said Blockbuster would drop HD-DVDs completely in July 2007... Well, it's not the case. They still have them, and my queue is full for months ahead. I am glad that I have not chosen Netflix.

Now if they stop renting HD-DVDs, I will move completely back to DVDs. I hate when companies (bribed by Sony) stick the overexpensive format into my throat. So I am not going to buy Blu-Ray player or PS3 until they hit $100 mark (that's how much I paid for my HD-DVD player).

And by the time Blu-Ray players hit $100, the movie downloads would be widespread, and I will buy Apple TV or something like that and just forget about discs.

In the meantime, guys, you are welcome to support Sony, support RIAA, support DRM, support Blu-Ray...
Thank you, I will skip.

[tcc3 @ Feb 11th 2008 11:10AM]

You don't think you're supporting DMR with your movie download service of choice?

Unless your service is Pirate Bay....

[Johnny5 @ Feb 11th 2008 11:25AM]

I cant believe people get emotionally involved over movie formats. Get creative - take your HDDVDs over the dog park and go play fetch in the snow or something.

[why not the LS2LS7? @ Feb 11th 2008 11:38AM]

You hate it when Sony bribes companies to support BluRay? What did you think when Microsoft bribed Paramount to support only HD-DVD?

Yeah, it's been a dirty format war, but it's been so on both sides.

[El Mango @ Feb 18th 2008 11:24AM]

Toshiba payed Paramount for HD exclusivity not Microsoft. Get your facts straight.

[Electromodo @ Feb 11th 2008 12:59PM]

I see this article is overwhelmed with Blu-Ray supporters. I will stay on HD-DVD side until the prices go down to $100. Yes, I am a die-hard anti-Blu-Ray fanboy, and I will remain like that.

Go kiss your Sony! :))))

[Balls @ Feb 11th 2008 1:23PM]

Yeah I also canceled my netflix subscription because they stopped carrying Betamax. What assholes.

[shakes2 @ Feb 11th 2008 1:36PM]

i just cancelled mine

[MacGuru @ Feb 11th 2008 4:44PM]

Good luck with that. Ah and by the way, Fry's Electronics still sells blank Betamax tapes while you're at it.

[Dehshizknight @ Feb 11th 2008 4:56PM]

Uh, Sony doesn't bribe companies...

You heard Warner Bros. They said they WISHED Sony paid them but they didn't. They chose Blu-ray because that's where the money's at.

[Mii @ Feb 11th 2008 8:26PM]

to: Johnny5 The scary thing is when I read that, I immediately had a vision of going to the park with my poodles, and lobbing a rotted CAV laservision disk at Muffy. Thank god for miniaturization! (that applies to lawn darts too)

[jim killer @ Feb 14th 2008 6:56AM]

you cant buy movies with xbox live ... you just rent em because it expires too...so the better deal is still with netflix or blockbuster online ...watch them today..mail it today get another movie every 2 days with one low price..which I can burn a make a personal copy and store to my ipod too.

[jim killer @ Feb 14th 2008 6:58AM]

Yup download is better..sure... just pay and download it..if you want to watch it again..go ahead just pay and watch it again...cant get enough of it huh?..thats fine..just pay and watch it again... you dont need disc or any other format because you could always just ..pay and watch it again....smart

Thank god for Netflix and Blockbuster ..I could enjoy a new Blu-ray or Hd-dvd movie every other day for the price of one double-cheese burger meal and animal style fries.

[Travis @ Feb 11th 2008 8:53AM]

Final nail in the coffin...

[TrentD @ Feb 11th 2008 8:54AM]

Good grief, if HD DVD had sold a movie every time that a Blu-ray fanboy had declared something like this "the final nail in HD DVD's coffin", they'd be outselling BD 99:1 every week!

[jacquerr @ Feb 11th 2008 9:18AM]

Hmm. someone needs to find this coffin nailer...that final nail just keeps popping up. final nail in the coffin....final nail in the coffin...dag nabbit, final nail in the coffin...OH FOR THE LOVE OF GOD...final nail in the coffin...

[Travis @ Feb 11th 2008 9:54AM]

I personally own a Toshiba HD/DVD player....and a PS3...no fanboy here.....its inevitable...sorry.

[The Finite @ Feb 11th 2008 11:00AM]

Actually, the coffin was nailed up weeks ago. This is a just another shovelful of dirt being thrown in the grave.

[MasterCKO @ Feb 11th 2008 3:34PM]

@The Finite:

Exactly right.

[TrentD @ Feb 11th 2008 8:53AM]

Say good-bye to tens of thousands of subscribers, Netflix.

While BD renters are split between Blockbuster, Hollywood Video, and Netflix, HD DVD renters are almost all Netflix customers. This will lose them a significant number of customers.

[spirewalk @ Feb 11th 2008 8:58AM]

Trent- Here's a crazy idea... buy a blu-ray player and then you can rent from Netflix again. Were people this whiney when VHS won?

[Jeremy @ Feb 11th 2008 9:06AM]

Except you seem to forget 25% of the titles are still HD. Who knows how long this stalemate may go on.

[david @ Feb 11th 2008 9:23AM]

Bottom Line: If HD-DVD was producing any significant revenue stream for Netflix, then this wouldn't be happening. The blu-ray demand is 3x stonger than the demand for HD-DVD and it makes sense to focus their business model on areas of growth in the HD market.

[TrentD @ Feb 11th 2008 9:30AM]

spirewalk,

Here's a crazy idea - don't assume.

I don't rent movies. I do own both an HD DVD and a Blu-ray player. I was simply pointing out that no matter how small of a revenue stream HD DVD provided, Netflix will see a significant permanent defection of customers over this.

[Chebwa @ Feb 11th 2008 9:40AM]

I'm sure Netflix took a good look at how much money they were pulling in from HD-DVD and decided it just wasn't worth it to stock them. I don't think they did this just to piss people off. Netflix is a successful business. The HD-DVD movie market is not. Netflix isn't this to make you happy, they're here to make money.

[behemothzero @ Feb 11th 2008 9:42AM]

Uh... Defect to what?

[Amy @ Feb 11th 2008 9:53AM]

Chebwa,

Funny, but I would have thought that a business in the business of providing entertainment to their customers would make it their business to keep those customers happy. Unhappy customers = no customers. It's not as if they are in the business of unblocking your drains and you pay up grudgingly even if customer service comes with a low priority.

[caleb @ Feb 11th 2008 9:53AM]

@TrentD: I think you sorely overestimate the number of HD-DVD owners who solely rent HD-DVD discs from Netflix, and who are so stubborn as to not move on to Blu-Ray.

I'm not saying there aren't any. My grandmother was that way with BetaMax. She stocked up on players and tapes so she would never have to use VHS. In 1990 she was pretty much alone in her stubbornness with her BetaMax. By 2000 she was using VHS.

[Erik Hanson @ Feb 11th 2008 9:57AM]

Chebwa, I dunno about anyone else, and this honestly is not a flamebait, but of all the HD titles I've rented off Netflix (admittedly, not THAT many), many of the HD DVD titles have been really scratched up, and either skipped or didn't play at all on my HD-A3. The Blu-ray titles I've rented from Netflix play just fine on my PS3. I have to hand it to the Durabis coating on BD titles, because I have to assume either my HD DVD player sucks at error correction, or the HD DVD spec can't handle rough use. Has anyone else seen this issue, or am I just some oddball case?

[jus10 @ Feb 11th 2008 10:00AM]

*looks at AppleTV sitting on top of his HD-DVD player*

How about defecting to that? To be fair I didn't buy the HD-DVD player (it was a gift) but the only HD DVDs I've ever watched were via Netflix. I really just used the thing as an upconverting DVD player (which it is fine as). Now I have the AppleTV for that and as iTunes rentals expand that should meet my needs.

[Boostjunkie @ Feb 11th 2008 10:27AM]

Sure, and Apple TV has an amazing upscaled DVD quality output. You know it's 720p but at a high compression. Face it, if you want really high quality, you have to move to blu-ray.

[Vidikron (FU) @ Feb 11th 2008 11:27AM]

@Eric Hanson

Nope, you're not the only one. I have both a BR and HD-DVD player and rent both formats via Netflix. Every BR movies has arrived in perfect condition. I haven't even seen a scratch on the discs. That coating they put on those things is fantastic. HD DVD discs, OTOH, arrive in the same condition as any DVD. Unless the disc is brand new you can count on the thing being covered with scratches. Most of the time the movie will still play, but I did get one HD DVD that I had to return because it wouldn't play. Actually, it played for about half the movie and then quit.

[why not the LS2LS7? @ Feb 11th 2008 11:54AM]

TrentD:

I don't think the defection of customers will be significant. Most people will just switch to BluRay, or maybe even already have. The only person I know who rents HD-DVDs from Netflix also has a BluRay player, maybe a lot of them are like that.

Few are likely to drop their subscriptions out of spite I think. Yes, I'm sure some will, but I doubt it'll be significant.

[Zerohour @ Feb 11th 2008 7:05PM]

I don't see how carrying HDDVD would adversely affect their earnings. Their customers are on a plan where they pay $X every month, no matter whether they are DVD, HDDVD, or BluRay customers.

If HDDVD are not as popular, then they can reduce the number of each title that they carry, they already use this system with DVDs.

If it's a matter of having redundant inventory (same title in HDDVD & BluRay), then they could choose to only carry what they consider to be the more popular format.

But there are many people out there who have HDDVD players, including (obviously, just from the above comments) some of their current customers. Why alienate a current or potential customer?

[Sam Winter @ Feb 12th 2008 7:35AM]

"why alienate a potential customer"

Because unlike the HD-DVD fanboys here, they see the writing on the wall. People who have already purchased a HD player are obviously early adopters that care alot about video quality. Thus I don't think Netflix would be crazy to assume that those same people will then grudgingly move on to the other format. You really think tens of thousands of HD-DVD Netflix subscribers are just going to cancel their accounts and NEVER adopt blu-ray HD movies? HA. Except for the members of the Nfinity/Truth Teller cult, most people are quite rational and will move formats just as Beta people did 20 years ago.

[Zerohour @ Feb 12th 2008 1:13PM]

I'm hardly a fanboy. I don't have (or need) either player, so I don't have a horse in the race. I do plan to buy a PS3 and use it for BluRay however.

"You really think tens of thousands of HD-DVD Netflix subscribers are just going to cancel their accounts and NEVER adopt blu-ray HD movies?"

Actually, yes. That is a realistic viewpoint. Clearly there will be some who make the change. But an equal number of people may feel that they have already been screwed over by one format, and won't want to purchase yet another player.

I personally get the feeling that this is like the second coming of the laserdisc. By the time they get the players into the price range where the average person is able to afford it, there will be a better solution. With the growing number of broadband subscribers, that is probably going to be downloading/streaming content.

With (according to the HDDVD camp) over a million players on the market, I still don't understand why Netflix (who already has lost market share) would risk losing more customers to Blockbuster or other competitors.

[omoks @ Feb 11th 2008 8:55AM]

I do feel bad though. I bought my Xbox HDDVD drive solely to rent nextflix HDDVD Movies. Oh well. Hope its still worth something on eBay.

[Andrew @ Feb 11th 2008 9:32AM]

I don't know - I figure netflix will be selling them somehow, you'll probably be able to pick up a few bargains when they do!

[waters.jon @ Feb 11th 2008 10:01AM]

That is exactly what I did. I'll still hold on to my Netflix subscription for a while because I still have a bunch of HDDVDs I still want to rent (hopefully they won't disappear suddenly), but after I see those, I'll cancel.

[Dustin Frazier @ Feb 11th 2008 8:55AM]

Now it's over.

[Mark @ Feb 11th 2008 8:59AM]

What? Guys don't go cancelling your subscription, your player is good at upscaling.

[okeygrak @ Feb 11th 2008 9:18AM]

ZING!

[geekinabox @ Feb 11th 2008 11:56AM]

Ummm ... the 360 does all the upscaling **without** the HD-DVD drive ...

http://www.engadgethd.com/2006/09/21/xbox-360-hd-dvd-playback-maximum-1080i-via-component-1080p-vga/

[teej @ Feb 11th 2008 12:55PM]

@geekinabox

if you're using VGA or HDMI: "DVD - Upscaled as high as 1080p resolution and all others."

kthxtho

[steedums @ Feb 11th 2008 9:01AM]

that really sucks. so they're just following others? consumers still demand them significantly. cmon netflix@!

[Izzy @ Feb 11th 2008 9:05AM]

It has to be an inventory thing and even they are tired of the format war. I was around for the betamax-VHS war and it was just as ugly. But one by one people stopped carrying beta, its too much to carry all these formats.