Reed Hastings explains recent price hike, but many still not happy
(NEWSER) - Netflix’s recent price hike caused rampant backlash , cost the movie rental service one million subscribers , and sent the company’s stock tumbling. Last night, CEO Reed Hastings admitted in a blog post , “I messed up.” But he’s not offering a reversal on the price hike, simply an explanation that, he admits, should have come earlier: Netflix is spinning off its classic DVD-by-mail service; it'll now be a distinct entity known as Qwikster, while Netflix itself will become streaming-only. The Wall Street Journal notes that while Qwikster will be a wholly-owned subsidiary of Netflix, the two websites (including movie queues and ratings and account information) will not be integrated. More»
