Netflix Streaming-Only Subscriptions in the Pipeline But it Will Cost Them

written by: Richard Kastelein

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In 2010, streamed videos outnumbered DVD rentals for the first time in Netflix's history. This trend is expected to continue as Netflix recently expanded its Watch Instantly service to Canada and is preparing "streaming only" subscription plans for U.S. customers. More than ever, subscribers are turning to sites like for more information on streaming video. But the online move has cost Netflix at least $1.2 billion, according to CNET.

 That's the amount Netflix has committed to paying Hollywood studios for the rights to stream their movies and TV shows. And it's up from $229 million three months ago, the company disclosed in an SEC filing yesterday. Most of that leap comes from a five-year deal that Netflix previously announced with the Epix pay channel, which is thought to be in the $900 million to $1 billion range. But that number could jump again within the next year, when Netflix's deal with the Starz pay channel expires.

In the past, was a niche website that highlighted popular and odd titles added to Netflix's streaming video, visitors discover all titles that Netflix plans to stream within their favorite genres, regardless of release date.

With this newly expanded content, has become an important tool for Netflix subscribers increasing their use of streaming video.

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