Advanced Television

Netflix scraps Qwikster split

October 10, 2011

Netflix is to shelve the idea of splitting Netflix into two brands—Qwikster to sell DVDs, Netflix for streaming – just 23 days after it was announced. The company had already admitted the way was announced alongside price increases was a disaster.


Instead, while the businesses will split operationally, everything will stay under the Netflix brand and subscribers who get both services will keep one account. The company is sticking to the 60 per cent price increase for subscribers that was announced in July and took effect in September.


Andy Rendich, who was to be CEO of the new subsidiary, will still head the DVD division, which will move to San Jose as planned, but declined to discuss titles.


The company said: “Consumers value the simplicity Netflix has always offered and we respect that. There is a difference between moving quickly—which Netflix has done very well for years—and moving too fast, which is what we did in this case.”


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