Netflix announces backstabbing plans to gouge its customers

Netflix headquarters.

Congratulations, Netflix users: The crimson-envelope video company is cutting prices all over the place! (As long as you don’t have the bad fortune to subscribe to its most popular plan!)

As the company touts:

First, we are launching new DVD only plans. These plans offer our lowest prices ever for unlimited DVDs – only $7.99 a month for our 1 DVD out at-a-time plan and $11.99 a month for our 2 DVDs out at-a-time plan. By offering our lowest prices ever, we hope to provide great value to our current and future DVDs by mail members. New members can sign up for these plans by going to DVD.netflix.com.

Oh, well that sounds lovely! Wait, but what’s wrong? As the Wall Street Journal reports:

The Los Gatos, Calif., company said it will no longer offer a $9.99 a month plan that allows members to stream an unlimited number of movies over the Internet and to rent one DVD at a time. In its place, Netflix subscribers will have to pay $15.98 a month for a plan that combines an existing $7.99-a-month streaming-only movie service with a new $7.99-a-month DVD-only rental plan that lets them check out one disc at a time.

So a service that used to be $10 will now be $16? We’re not great at math, but we’re pretty sure that’s a 60% price hike being passed off as some sort of discount.

This has to be some sort of plan to fob off the actual DVD plans and push people into the streaming subscriptions, right? Otherwise, a 60% price increase would mean that Netflxi had to be losing tons of money on the original one-DVD-plus-streaming plan. How much of a loss-leader was it?


News
Entertainment
Sports
Lifestyle
News

Mets mascot Mr. Met target of Bill Clinton…

Mets mascot Mr. Met has told how he ended up in the crosshairs of a Secret Service sniper rifle. The man behind the Mr. Met…

Local

Oval oasis: Summer of fun kicks off this…

A bold partnership between the Fairmount Park Conservancy and the city's Parks and Recreation Department is kicking off this weekend with family activities re-activating this unused public space.

Local

African couple claiming misidentification in robbery case to…

At a bail hearing today for Vickson and Lorfu Korlewala, charged in the robbery of an 80-year-old woman, bail was reduced from $1 million total to $500,000.

International

Jews in eastern Ukraine ordered to register, Kerry…

Secretary of State John Kerry condemned reports that Jews in eastern Ukraine had been ordered to register with the authorities "or suffer the consequences."

Movies

Review: 'Transcendence' is not stupid but sometimes lacks…

The cyberthriller "Transcendence" explores artificial intelligence, nanotechnology and other ethical quandaries, but has too much ambition, if anything.

Television

Dick Wolf to bring fictionalized world of 'Law…

A&E has ordered a pilot called "D.O.A." from "Law and Order" mastermind Dick Wolf that will focus on real detectives reexamining cold cases. A trio…

Television

Shane West talks WGN America's 'Salem'

The actor on history lessons, a new network and showing his butt.

Music

Both feet on the ground with Aimee Mann…

What began with a cool double-bill of Ted Leo opening for Aimee Mann morphed into a full-fledged collaborative project that they're calling The Both. “There…

NHL

Rangers draw first blood against Flyers in Game…

Brad Richards and Derek Stepan scored power-play goals 47 seconds apart to lead the Rangers to a 4-1 win.

MLB

Jimmy Rollins is key to Phillies success

When John Kruk was asked about what the Phillies need to contend for a playoff berth, the ESPN analyst said Jimmy Rollins needs to play like a MVP again.

MLB

Ben Revere lifts Phillies to avoid sweep

Ben Revere came through with a two-out RBI single against Atlanta’s tough lefthander Alex Wood.

NBA

Season wrap: 76ers make the grade

The 76ers opened the 2013-14 season with a victory over the Miami Heat. The Sixers closed the season with a win at Miami.

Style

Light-up nail art syncs with phone

This Japanese technology syncs light-up nail art with your phone.

Wellbeing

Why is dance cardio taking off in NYC?

Instructors at some of the city's hottest classes explain why.

Travel

Earth Day travel in the Florida Keys

See why this eco-friendly destination deserves your attention.

Tech

Sorry, Facebook — FarmVille goes mobile with 'Country…

Zynga has released a version of the hit "FarmVille" tailored for smartphones and tablets in the hope of reaping a bumper crop of players.