Netflix & LG Partner To Bring Netflix to the TV

Netflix & LG ("Life is Good") are teaming up to provide a set-top box that will stream movies to TV sets in the second quarter of 2008. LG has not released technical details about the box, such as ports (HDMI? Component? Both?), hard drive, resolution, or other features.

Netflix CEO Reed Hastings told HackingNetflix that they will be partnering with a number of companies, "Our model is that we don't want one Netflix-branded box, we want to see 100 Netflix-capable boxes. We want to be embedded in high-def DVD players, Internet games, dedicated set-top boxes, a wide range of options, not all instantly. This is the first one, a great proof point."

The only available image at this time is a screenshot of the user interface:

Obligatory quotes from Netflix & LG:

“Internet to the TV is a huge opportunity,” said Netflix Founder, Chairman and CEO Reed Hastings. “Netflix explored also offering its own Netflix-branded set-top boxes but we concluded that familiar consumer electronics devices from industry leaders like LG Electronics are a better consumer solution for getting the Internet to the TV.”

“Consumers crave compelling and immediate content, and the Netflix online streaming movie feature can provide instant gratification. This alliance underscores LG’s goal of developing smart technologies that deliver flexibility, convenience and control to consumers,” said KI Kwon, President of the Consumer Electronics Division of LG Electronics USA, Inc.

What we know so far:

The set-top box will have the same set of movies that are available through Watch Instantly, currently around 6,000 titles. Movies will be streamed to the box, not stored on the device.

LG does not have an exclusive deal with Netflix, so we can expect to see other companies to include this feature (Microsoft's Xbox? PS3?). No other partners have been announced at this time, but Netflix CEO Reed Hastings said that he wants to see a wide variety of partners using the technology.

The pricing for the box has not been set, but I would expect it to cost less than $200 ($99 might be a good introductory price).

The box will be sold by LG, but the streaming service is expected to be included in the Netflix subscription price (no additional fee).

Netflix is testing unlimited Watch Instantly with a small set of users, so we don't know if the service will be capped or unlimited viewing (my guess is a limited number of movies, since Netflix has to pay the studios for each viewing).

We have very little information at this time about the technical specifications of the box, but I wonder if they will include HDMI and component interfaces (the 2 HDMI ports on my LCD TV are already full).

My bet is that the box will include a wired ethernet port and 802.11g. Very few people have 802.11n at this time, and Watch Instantly works well over "G."

Update: Additional coverage by Reuters, the Associated Press, and The New York Times.

What do you think? What would you pay for this device?

Comments

[Cansler]

I think they need to take the 'Netflix Inside' approach embed the ability to stream HD movies directly inside HDTVs or other settop boxes/360s/ps3/wii/hddvd players. I personally don't want to spend a dime on a stupid settop box.

[Tom]

Another vote for a Mac client before a separate box.

[JNH]

When complaining about the list of quality movies, this is actually the studios' fault, as they long ago made long-term output deals with the cable movie channels that limit their ability to explore VOD options with those titles. These output deals start to expire in 2009 and 2010, in general. At that time, the flood of titles will include the things that make your mouth water. But this is the state of affairs and a big hindrance.

[KWS]

Ever hear of Unbox on Amazon.com? Works with PCs AND Tivos connected to broadband. They have a decent catalog and you can buy or rent.
Maybe when they get up to HD w/ 5.1 I'll get an HD Tivo, but this works for now and it does NOT require any continuing fees (other than the $12.95 for Tivo service itself) I prefer to pay as I go, rather than install another leak in my bank account. Go to tivo.com to get the current details. (No, I don't work for them)

[Kre]

@ Willie Lum Lum,

In regard to their online Watch Instantly catalog, I'm not "blaming" poor movie choices on Netflix per se - I know the studios have to give permission to Netflix, as well. But regardless of the reasons why the selection stinks, it is what it is. And what I believe about the STB, the movie selection, and it's success, still stands.

They're going to have to make the hardware excellent and they're going to have to offer great movies, otherwise, people won't be interested.

And no, I won't buy one the second it comes out. I'm not fickle and impulsive. I say what I mean and mean what I say, and I stick by it. Besides, I already outlined what it would take for me to buy one, and apart from that, I'll just stick with the DVD's.

Ha!

[Sdo]

Mac fanboys. Apple will not exactly endorse a Mac version when it's still trying to hock Apple TV. If apple offered a subscription service and allowed me to run ATV without a computer - Done. Same goes for Netflix - assuming they both offer solid content. I'd love to get an old fashioned antenna for my HDTV to watch the small amount of sporting events I watch and ditch the cable companies forever.

[Paul J Loehlein]

I think this is great. There was a comment about about all the crap movies that are offered. I disagree. They are not main stream, but they are all the movies in the middle of the store that are not rented much. There are a ton of great movies on demand. No, not the brand new ones, but many of the greats! I'm very excited, and even more excited that it's coming around 200. One guy said 150 would be his top, well I think the extra 50 would be worth it. LG is a good responsible company that is know, now, for quality. The first launch should be pretty sweet. Consecutive companies will be awesome.

Go NetFlix!

Paul

[ROBERT BERENS]

I JUST BOUGHT THE LG BD300 WHAT ELSE DO I NEED TO GET NETFLIX STREAMING? OUR COMPUTERS ARE AT THE OTHER END OF THE HOUSE. WE RECEIVE OUR HD FROM DIRECT TV.WE HAVE BEEN & STILL ARE CUSTOMERS OF NETFLIX. PLEASE ADVISE ME. THANKS
BOB B

[BarlowJuana]

If you're in uncomfortable position and have no cash to go out from that point, you will have to take the mortgage loans. Just because it would help you definitely. I take student loan every single year and feel great just because of it.