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Consoles will help Netflix increase subscriptions by 3 million this year

Written by Andre Yoskowitz (Google+) @ 23 Apr 2010 12:19 User comments (4)

Consoles will help Netflix increase subscriptions by 3 million this year Wedbush Morgan video game analyst Michael Pachter has said today that he expects video game consoles to add 3 million subscriptions to Netflix in 2010.
Netflix gained about 800,000 subscribers in 2009 after they made the streaming service available on the Xbox 360 and Pachter says he expects at least the same amount of additions from the PS3 and Wii.

After Netflix's recent earnings report, Pachter said (via GI): "Subscriber growth exceeded our expectations in Q1. And the company increased full year subscriber guidance by 1 million, implying that contribution from the consoles may be running closer to 3 million this year."

Overall, 55 percent of those with Netflix subscriptions are now "actively" streaming content, up from 48 percent last year.

Additionally, Pachter says that once the current installed base of consoles has been saturated by Netflix, Netflix will make subscribers of about 5-to-10 percent of all new console purchases for the year, expected to add up to 1 million for all three consoles.

Finally, the analyst says that he expects the Netflix streaming to be much less popular on the Wii, given the small number of Internet-connected users on the console and the lack of HD or even pseudo-HD.

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4 user comments

123.4.2010 14:48

Reaching a broader audience could increase your subscriptions? Get out of town. ;) But seriously... 3 million is a pretty big jump and it's good for everyone when a company like netflix does well. When they do well then I can keep my $10 monthly fee at $10. Keep it up.

223.4.2010 16:48

Pachter again? Seriously? You can never take this guy seriously.

He is probably going to be wrong too. You can't natively stream from the PS3 and the Wii. You need an extra disc from netflix to do so. It isn't just sitting on the home page every time you log in either.

324.4.2010 2:54

Originally posted by andmill11:
Pachter again? Seriously? You can never take this guy seriously.

He is probably going to be wrong too. You can't natively stream from the PS3 and the Wii. You need an extra disc from netflix to do so. It isn't just sitting on the home page every time you log in either.
Unless the disc is in, then it is the first thing that comes up on the xbm in the ps3.

I can believe this will bring them more users; no one wants to buy a box dedicated to netflix, but if they already have a box that does it, and it is already connected to their tv, then $10 a month for unlimited movies is a great deal.

425.4.2010 3:32

I hope the file allocation on the ps3 is better than Windows.

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