Tuesday, February 10, 2009

Netflix + XBOX 360 =$$

part•ner•ship [noun]:

An association of two or more people who take part in an undertaking with each other, especially in a business or company with shared risks and profits.

Once upon a time, two companies formed a partnership. Two months later, one million Microsoft Xbox 360 video game console users have activated Netflix's movie streaming service. One Million. In two months.

With this service, Xbox LIVE Gold members who are also Netflix members can instantly view content from Netflix on a TV via the Xbox 360 system through its Watch Instantly video service. In the two months this co-service has been available, the Xbox LIVE community has watched 1.5 billion minutes of movies and TV episodes. That's B for Billion. In two months.

Showing movies and t.v. shows over the web has been talked about ever since the debut of the web. Bandwidth finally increased to the point where it's possible and now technology has caught up to the point where consumers feel comfortable about it. The Netflix/XBox partnership may be a blueprint for the future of streaming movies. Per Reuters:

Analysts have been watching for data on the alliance as an important gauge of the emerging market for movies delivered over the Web, particularly as traditional media companies like Walt Disney this week have reported declining DVD sales and said the traditional business for delivering home video needs to be revised.

Netflix last month said its stronger-than-expected quarterly results were propelled by growth in its Web video streaming service and that streaming was "energizing" its growth.

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