Netflix grows VoD wings with new set top box

By Tim Conneally | Published May 20, 2008, 11:50 AM

Today, standing up as one of the three mystery partners Netflix mentioned at the end of the first quarter, Roku has released the first Netflix set top box.

At the beginning of this year, Netflix showed that it had a firm grasp on the future of home video market, giving DVD (hard copy media) until about 2013 before it becomes irrelevant, and emphasizing the company's future in streaming on-demand video.

Then, in late April during its first quarter 2008 earnings call, Netflix CEO Reed Hastings discussed the upcoming availability of an LG-branded Netflix set top box and three more devices from unnamed partners.

Roku Netflix box

Today's announcement from Roku is presumably the smaller fourth partner Hastings said would "likely launch sooner than Q4 2008."

Roku's set top box has a taller profile than an AppleTV unit, but a smaller footprint (5" x 5" vs 7.7" x 7.7") and offers RCA, S-Video, component video, HDMI and optical audio outputs. The device is HD-ready, but whether content is available in high definition is entirely upon Netflix. Early reports of the service's picture say it is "near DVD quality" but nowhere approaching HD yet.

Roku Netflix boxThe box costs $99 and is available now through Roku's site, and there is no additional charge added to subscription fees for using it. Active members with an unlimited Netflix rental subscription and an Internet connection faster than 1.5 Mbps can ostensibly plug in and start streaming right away.

After battling bitterly with Blockbuster for control of the video rental market, it looks like Netflix will be the one to emerge intact. Recent talks about merging Blockbuster with Circuit City have received a lot of publicity after an initial buyout offer from the electronics retailer.

Roku Netflix remoteThe service is roughly similar to Vudu and AppleTV in terms of method of delivery and concept, but as a purely streaming service from a video rental company, it could be classed with now-bankrupt Movie Gallery/Hollywood Video's glitchy MovieBeam service that closed down operations at the end of 2007.

Comments

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If the quality is anything close to their streaming that you get on your computer, then it's not THAT bad, i hooked my laptop up to my 40 inch samsung and streamed netflix, and while it was definaly not HD, it was very watchable. i was actually quite impressed.

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Netflix releases a very low amount of new DVD's to their VoD lineup. I have a hard time finding anything new to ever watch.

I think I will pass and wait for Apple to kick the AppleTV with the new DVR functions.

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I'm tempted to try it out, but the fact that it's mostly older content available and in less-than-DVD quality makes me a little hesitant.

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Funny thing is I do this currently with my X-Box 360. Have a Windows Ultimate box that acts as the Media Center and has a plugin http://myweb.cableone.ne.../vmcNetFlix/default.htm that lets me browse all the online viewable movies on Netflix on my X-Box 360 and then stream them on my TV. This would of course remove the need for a Windows Media Center PC for those that don't have one. The video quality is not that bad. Try streaming HD versions of Lost on ABC's website. The streaming quality is better than my cable company's HD channel of ABC.

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Hmm interesting program Boise. I read a while ago of the rumors of Netflix coming out with a program for the 360, but while I'm waiting I'll give this a shot.

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I've watched Netflix's video on demand service on their website over my 15mbps Verizon FiOS internet connection. The video of the movies are indistinguishable from the original DVD. In fact, the only noticeable difference between Netflix's VOD movies and the original DVD is you don't get 5.1 channel surround sound.

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