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It's not surprising

Posted by racerguy on April 23, 2008 at 08:03:49

In Reply to: So now Netflix is going to charge more to rent BD movies. posted by jsm on April 22, 2008 at 16:13:19:

Blu-ray is a niche product, and is destined to stay a niche product for the foreseeable future (ref Reed Hastings' comments that "The company expects the percentage of subscribers who rent Blu-ray to stay in the single digits this year").

So Netflix has to maintain an essentially redundant library for a tiny percentage of its customers, which increases Netflix' costs.

As has been mentioned here previously, the Blu-ray prices are going up, not going down, which increases Netflix' costs.

Those customers have already proven that they are willing to spend more on equipment and media than run-of-the-mill DVD customers.

From a business standpoint, it makes perfect sense to charge Blu-ray renters more.

Edits: 04/23/08

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