RIP Qwikster: Netflix Will Keep DVDs
CEO Reed Hastings says move was 'too fast'
By Kevin Spak,  Newser Staff
Posted Oct 10, 2011 7:46 AM CDT
In this file photo made July 20, 2010, a Netflix customer holds up a movie in Palo Alto, Calif.   (AP Photo/Paul Sakuma, file)
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(Newser) – Ah, Qwikster, we hardly knew ye. Probably because ye never launched, and never will. Netflix abruptly changed course today, announcing that it would not be slicing off its DVD-by-mail service into a separate site after all, Reuters reports. “There is a difference between moving quickly—which Netflix has done very well for years—and moving too fast, which is what we did in this case,” CEO Reed Hastings said in a statement.

The about-face means that customers “will continue to use one website, one account, and one password,” the company’s statement said. The bad news: The new price structure, which jacked rates for some users by as much as 60%, is staying put. "While the July price change was necessary, we are now done with price changes," wrote Hastings on the Netflix blog. Netflix had faced intense backlash over both moves; its stock is down 60% since July, and the company recently slashed its subscriber forecast by 1 million as cancellations roll in.