Netflix splits off streaming, changes pricing

Have a Netflix subscription you enjoy for DVDs and iPhone, iPad, or Apple TV streaming? Well they've just announced they're splitting your physical media from your online content, and changing the pricing on you as well. The new DVD-only plans start at $7.99 for 1 DVD a month. Unlimited streaming remains $7.99 but if you want both unlimited DVDs and unlimited streaming, it'll cost you $15.98 ($7.99 for each, no combo discount).

New members get the new pricing immediately, existing members get it September 1.

“Netflix members love watching instantly, but we’ve come to recognize there is still a very large continuing demand for DVDs by mail,” said Andy Rendich, Netflix Chief Service and Operations Officer. “By better reflecting the underlying costs and offering our lowest prices ever for unlimited DVD, we hope to provide a great value to our current and future DVD-by-mail members.”

I'm guessing there won't be a lot of happy Netflix users following this announcement. Could be worse though, perpetually myopic Hollywood could force them to raise the prices for streaming -- or simply deny Netflix more content -- in the future.

Which plan will you be getting?

[Netflix PDF]

Rene Ritchie

Rene Ritchie is one of the most respected Apple analysts in the business, reaching a combined audience of over 40 million readers a month. His YouTube channel, Vector, has over 90 thousand subscribers and 14 million views and his podcasts, including Debug, have been downloaded over 20 million times. He also regularly co-hosts MacBreak Weekly for the TWiT network and co-hosted CES Live! and Talk Mobile. Based in Montreal, Rene is a former director of product marketing, web developer, and graphic designer. He's authored several books and appeared on numerous television and radio segments to discuss Apple and the technology industry. When not working, he likes to cook, grapple, and spend time with his friends and family.