Netflix HD vs Bluray

[freedquaker]

Yes I forgot to mention one point, which is...

- The libraries are not identical. Netflix probably doesnt have many of the newest movies which are available on bluray dvd. However, bluray also doesnt have many of the old movies which are available on netflix. I believe the libraries will converge, though this is more likely to go to Netflix's advantage as it is less likely for us to see old bluray movies compared to new movies on netflix. However, at least as long as bluray is more profitable than netflix, the newest will first come on dvd and bluray and always lag on netflix. What the industry doing now is "create a third market after movies and physical formats". First release on theatres, then on physical formats (dvd and bluray) and then digital. This is called Market Segmentation and/or Price discrimination in another sense (which are common practices in capitalist economies).