In his blog last Sunday, Netflix CEO and Co-Founder Reed Hastings offered An Explanation and Some Reflections about the latest Netflix price hike. Last month, Netflix announced that it was splitting its services—dvd shipments and instant streaming—into two pay structures, angering millions of users as the change resulted in a significant increase in monthly subscription rates. As the effect took place September 1st, Netflix lost over one million subscribers and its stock values plunged.
Now Hastings' apology dumps another blow on his dissatisfied customers' heads; Netflix is splitting into two separate companies: Netflix for instant streaming content and Qwikster for DVD by mail service. Read more, and offer your opinion, here.
UPDATE: as of 10/10/11, Netflix has reversed its plans: DVDs are staying on the main site. Seems that the power of customer feedback also remains. Read more here.
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