October 02, 2009

This report looks into the economics of digital delivery and Netflix transition to hybrid physical/digital business. Generating little revenue in its own right, Watch Instantly is a cost centre for Netflix, due to content licensing and delivery costs. The service is acting as a very effective land-grab for Netflix in the digital space, demonstrating the company's impressive agility and maintaining relevancy of the Netflix brand to a rapidly evolving home entertainment consumer.

Tables and charts included:

• Hardware compatible with Watch Instantly
• Watch Instantly streams (m)
• Netflix churn (%)
• Watch Instantly delivery costs ($m)
• Netflix distribution costs ($bn)
• Netflix quartely consumption
• Netflix subscribers (m)
• Authorised stock buy back programmes
• Movie Windows

Pages: 14

Tables & charts: 9

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