Netflix CEO Reed Hastings finally realizes he made a mistake when making DVD and streaming services separate on Netflix. Not in the way you and I think and most certainly not about the price hike.
His realization is that streaming and DVD services are completely different and should be treated as such. So what do you do? You spin off a new company to take on just the DVD services and name it Qwikster! That’s exactly what Netflix has done.
Netflix stock has lost almost 50% of its values since they made the price announcement in July. Of course customers for the past 12 years won’t be happy with a giant price jump like the one they implemented. Not when the services hasn’t become better, especially on the video streaming side.
Mr. Hastings, splitting Netflix into two companies is not the answer everyone was looking for.
See his apology video below
[UPDATE] Netflix changes mind on Qwikster
