Netflix Streaming-Only Service

By: Rob Adams
Staff Writer
Published: Oct 21, 2021

Netflix Streaming-Only Service

Netflix streaming-only service coming soon. The stream-only service will launch in Canada and the United States for Netflix customers. Netflix expects to offer the service by the end of this year to allow DVD subscribers a chance to test-drive the new stream-only offering.

Chief Executive Reed Hastings said Netflix was looking to offer a new low-cost plan. It will allow subscribers to access movies and TV shows solely online. The company is already offering a streaming-only service in Canada for $7.99 per month.

Hastings said success there has led Netflix to test an identical offering in the U.S. If the test fares well, all consumers will be able to sign up for streaming-only service. Hastings did not identify a price, but it is likely to be the same as it is in Canada. The company will still offer user its current subscription plans, all of which include Internet streaming and DVDs through the mail.

The move comes as Netflix will deliver more hours of content via the Internet than on discs. In addition, Netflix is now spending more on content for its streaming service than for DVDs. That's due largely to a new five-year deal worth $1 billion with pay cable channel Epix, which is providing movies from Paramount Pictures, Lionsgate, and Metro-Goldwyn-Mayer.

"By every measure we are now primarily a streaming company that also offers DVD-by-mail," Hastings said. "DVD-by-mail shipments are still growing, but streaming for us is much larger and growing much faster."