Video Business reports that Netflix will be significantly increasing the selection of Blu-ray titles in 2008.
McCarthy also said today that Netflix will add as many as 1,500 Blu-ray titles to its existing 400 titles this year as customers ditch Toshiba’s discontinued HD DVD format and converge onto a Sony’s Blu-ray format. He said he didn’t know what effect more Blu-ray titles would have on earnings.
“It seems apparent that content will cost us more,” McCarthy said. “Whether we raise prices will be entirely a function of churn, subscriber acquisition costs and gross margins.”