This shouldn’t surprise anyone anymore than the price increase did. NetFlix appears to be a fabulous service that remains heads and shoulders ahead of all others. I can’t vouch for it myself as I’m not a subscriber, but it seems everyone I know has it and loves it. The previous business model and pricing were clearly unsustainable as the content providers realize how much audience there is. NetFlix isn’t negotiating as a “new online thing that might be used”, it is now the big dog in what is clearly a strong market with lots of room for growth.
Those that left realized they didn’t really have any alternatives with the same breadth and depth of offerings and now they’re back. Until Amazon or Hulu or who-knows cranks up their game, where else they going to go?
