Netflix to Split DVD, Streaming Video Plans

The info that leaked a couple days ago is true; Netflix will be offering new, cheaper plans.

Netflix announced today that its new plans would start at $8 a month. The price was lowered because this plan, which includes unlimited rentals with 1 disc out at a time, no longer includes the streaming video offered by Netflix. If new subscribers want both options then they will have to order 2 different plans. The streaming video will now be offered by itself at $8 a month.

“Netflix members love watching instantly, but we’ve come to recognize there is still a very large continuing demand for DVDs by mail,” said Andy Rendich, Netflix Chief Service and Operations Officer. “By better reflecting the underlying costs and offering our lowest prices ever for unlimited DVD, we hope to provide a great value to our current and future DVD-by-mail members.”

The new rates are being offered now, and existing subscribers will be switched over on September 1st.

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