Tag Archives: Profits

Understanding Netflix’s New Price Plans

Netflix is changing their plans and prices...
Netflix is changing their plans and prices...

So today Netflix announced that they are starting new price plans. The plans become effective immediately for new customers and begin on Sept. 1st, 2011 for existing customers.

So what’s the deal?
— Price plans are broken up into 2 groups:
1. “Unlimited” DVD-Only — Starting at $7.99 (for one-out-at-a-time and NO streaming)
2. “Unlimited” Streaming-Only — Starting at $7.99 (no DVD’s)

Why is this a big deal?
— For new customers, it probably isn’t an issue due to the “You don’t know what you’re missing” effect… But for existing customers, this is quite a drastic change!

For existing customers who have/had both Streaming and DVD (one-out-at-a-time), the price was $9.99, but under the new plan it will be $15.98 (DVD @ $7.99 + Streaming @ $7.99 = $15.98).

How…Why…Huh?!
— Yeah, that’s what I said, so I read their blog –> here and found out for myself… To save you time, I’ll summarize:

Netflix is changing their plans because they didn’t expect both the streaming and DVD delivery to be so popular. People were taking advantage of both and it was cutting into their profits. As a result Netflix is changing things so they can make more money and continue to grow — and I’m sure provide everyone better service or something…

Their Justification?
— Apparently the original plan was to introduce Streaming and change the DVD shipments to a $2 add-on. My guess is they figured DVD rental was on its way out the door and everyone would migrate to streaming-only over time, but of course that proved to be wrong and DVD rentals are still a big thing.

So now they want to cater to 2 different markets — Streaming only and DVD only.
And if you are in one of those categories, you’re golden! (DVD-only customers are essentially going to save $2/month now vs. what they would have paid)

I think they should have done the plan like this:
— Streaming only for $7.99 w/DVD add-on for $2 more
— DVD only for $7.99 w/Streaming add-on for $2 more

This way everyone is happy and it wouldn’t be a drastic change that pisses off your customers… Just saying…

**UPDATE**
What does this mean to you (besides the Money issues)?
Pros
If you are a fan of the streaming, this probably means they will put more emphasis into getting better quality and newly released movies available for streaming (they better or this will be a major flop).

If you are a fan of the DVD rentals, this is good news because it means they are committed to a long-term DVD rental approach, so you wont have to worry about switching to streaming any time soon.

Cons
If you’re a customer who takes advantage of both DVD rental and Streaming, this means you’re going to pay an extra $6 each month for this “luxury”.

**UPDATE-2**
In Defense of Netflix (more or less)
Here is a nice quote from my friend Brian:

I think a lot of the problem is the companies producing the movies hate Netflix with a passion, because the service is seriously eating into their DVD & Blu-Ray sales. I saw on CNN today that a lot of movies disappeared from the streaming service thanks to a licensing issue with Sony Entertainment. Some of the movie publishers have stopped making their movies available to Netflix even for DVD rental until a month after they’re available for purchase in an attempt to get people to buy the movies instead of rent them. I think this plan change is just Netflix’s way of attempting to deal with the way they’ve been treated by the movie industry while trying to remain profitable.

Jailbreaking iPhone 3G – Getting More Action!

Jailbreak iPhone 3G
Jailbreak iPhone 3G

If you are like me and have an iPhone 3G (or perhaps an older iPhone or iPod Touch 2nd Gen or older) you noticed that Apple will no longer be supporting your device. iOS version 4.3 came and went with no love for us folks with older devices. It is reasonable that Apple stop supporting older devices at some point. They are not the only company to do so and they will not be the last… but that still leaves us with limited options now:

  1. We can fork over some cash and upgrade now (or perhaps switch to a Droid phone or something)
  2. We continue using our old devices and be happy with whatever we can get that’s compatible with 4.2.1 and wait it out until we can afford an upgrade or are forced to buy an upgrade
  3. We can jailbreak our devices and get more options!

I don’t have the money for option #1 and I’m not content with option #2, so I opted for option #3!

To Jailbreak or Not to Jailbreak…

Now maybe you’ve heard of “jailbreaking” before, but weren’t really sure what it is or if it’s safe or whatever… I’ll try to put it as simple as possible: Jailbreaking means freeing your iOS device from the restrictions put on it by Apple. By default, you can only install apps from the App Store provided by Apple. They approve apps for distribution based on their own criteria and they make a percentage of the profits (I believe they make 30%, but I could be wrong and I don’t care to look it up right now). When you jailbreak your iOS device you are setting it free! Jailbreaking opens the door to many opportunities… I’ll list a few neat examples of what you can do with a jailbroken iPhone 3G or 2nd Gen iPod Touch that you couldn’t do before:

  • enable multitasking
  • record video
  • have wallpaper on your springboard (the thingy your app icons appear on)
  • use custom themes on your device
  • hide that annoying Spotlight
  • play NES and SNES games
  • and much much much more!

Still not convinced? Well there is also a way to increase your virtual memory and even overclock your processor so that your device will behave more like a 3rd Gen device… an iPhone 3G working more like a 3GS?! yeah, that would be sweet! (note: I haven’t gotten there yet, but when I do, I’ll tell you about it!).

Is it safe? Yeah, I know that is a question in a lot of people’s minds… But really, is anything safe? Sure there is some added security with the default setup because Apple has total control over what is allowed onto your phone and what isn’t, but there are still other vulnerabilities and risks… if someone really wants to get access to your stuff, they will find a way… As far as the safety of a jailbroken device goes, it really boils down to common sense… If you use some, it will go along ways… Change your root and user passwords, only install apps from trusted repositories, and etc…

Is it Legal? According to the US Court System and DMCA Law: Yes! According to Apple: No. Read here for more info: http://en.wikipedia.org/wiki/IOS_jailbreaking#United_States_legal_issues

On with the show!

At first I tried following this nice guide provided by Lifehacker: The Always Up-To-Date Guide To Jailbreaking Your iOS Device, which recommended using GreenPois0n to jailbreak your 4.2.1 iOS Device, but I tried it 4 or 5 times (on Mac and Windows) and it never worked for me. Apparently I could not get my phone into DFU mode… at least not the way that GreenPois0n wanted… So I decided to go with RedSn0w and it worked like a charm! I found a nice guide here (Mac) and here (Windows).

It was very exciting, but didn’t otherwise seem any different at first… the only noticeable difference at first was the “Cydia” app that was now present… but once I started browsing the repositories, it became very clear just how right of a decision this was!

I will be posting a few things this week about my experience now with my newly jailbroken iPhone. Here are a few things I plan to write about so you can follow along if you are interested:

  • What apps to install first
  • Multitasking
  • How to fix MobileTerminal (I found a way to get it to work!)
  • How to fix Cycorder (Haven’t found a solution yet, but it wont be long)
  • Increasing your Virtual Memory (Sorry, it seems this is no longer possible)
  • Overclocking the CPU (Sorry, it seems this is no longer possible either)

Do you have an iOS device? Have you jailbroken it yet? Why or why not? If you care to share, please comment below. Thanks.