Netflix has announced that for the first time in a single month, Netflix subscribers have collectively streamed over one BILLION hours of video in June
Netflix is trying to wean people off DVDs to save on mailing costs and reduce its investment on a format that it expects to become obsolete. Delivering Internet video is quicker and less expensive than discs, but the streaming selection isn't as extensive as what's available on DVDs. To compensate, Netflix has been spending tens of millions of dollars during the past two years to add more compelling titles.
Netflix's increasing popularity indicates that those efforts are resonating with subscribers. That's important because it helps validate a strategy that called for Netflix Inc. to invest heavily in video-licensing fees, even though the spending is expected to saddle the company with an annual loss this year – the first time that has happened in a decade.
Of course, this is big news for Netflix, especially as they've made it abundantly clear how important it is to become a much more Internet streaming-oriented company compared to continuing to be DVD-based.
This is excited, and we were all part of a major milestone!