Netflix (NASDAQ:NFLX) has announced that it will start rating the internet connection speeds of various Australian internet service providers to determine which one of them can provide the best prime time viewing for its video streaming service.
This comes after many of its customers have complained of ‘unusable’ internet, i.e. the unpredictable internet service, which sometimes goes out of order. The announcement is that it will start providing monthly updates to its customers, as to which of the ISPs will provide the best prime time viewing experience.
The company already does ISP ratings in the US, Canada, parts of South America, particularly Brazil and Chile, and European countries, such as Sweden and Luxemburg. The ISP ratings for Australia and New Zealand will be released soon on a website at blog.netflix.com.
Since its launch in the Australasian region back in March, Netflix has seen its bandwidth usage and total traffic from internet service providers to soar between 20-25%. This has led to many tech analysts concerned about the infrastructure available to take up a large chunk of video streaming.
When Netflix launched its services, it agreed to untethering deals, in which customers can watch online videos without having to think about their monthly internet data allowances but Netflix Australia CEO admits that it was a mistake.
The streaming giant is having a roaring success so far, thanks to its better quality video and quicker start times for streaming internet TV shows and movies. It has entered into agreements with two ISP providers, Optus and iiNet, as the exclusive Internet providers.
Around the world, wherever Netflix operations are available, provision of strong internet services is a prerequisite for the company to successfully operate their Internet television. In fact, according to a study from global video quality analytics, Conviva, at least 1 in 4 respondents said that they would switch off their streaming service after every four minutes if the service is even slightly disturbed. That may be because if customers are watching the most critical part of the movie, and if the internet goes off, then they won’t hesitate to shut it down just to let the internet service providers know that even a minimal disruption will not be accepted.
Meanwhile, in response to the government’s plan to impose a tax on the Internet television companies, the organization says that it will follow all the relevant local and national laws, an implied indication that it will not mind the newly imposed tax.
Netflix Stock price ended the day at $617.87, a gain of 0.75%.
No comments:
Post a Comment