As Netflix continues to grow its user base, it faces growing competition from new and existing streaming services, forcing it to try to come up with new ideas to battle rival services that cost much less than Netflix’s $8 to $10 monthly subscription plans. To test the waters, the company is launching a cheaper, mobile-only subscription option…in Malaysia.
When asked for comment, the company would only offer a rather vague explanation of its new tactics. “We are testing to understand consumer interest in a mobile-only plan in some countries. Generally, we try out lots of new ideas at any given time, and they can vary in how long they last and who sees them. We may not ever roll out the features or elements included in a test.”
Not only is the new plan only being offered in Malaysia, one of Netflix’s smallest markets, at the moment, it comes with quite a few restrictions. Yes, you can stream Netflix to any smartphone or tablet for only $4 a month, but it (a) only allows for standard definition, so your HD resolution phone displays won’t mean squat, and (b) you can’t translate that to any of your other devices, like your TV. Although my guess is some hackers will find a way around that pretty quickly.
It is unclear when, or if, such a plan will ever be launched in the United States or Europe, especially with that standard definition limit in place, but that could change if mobile streaming continues to grow in popularity.
The real question that users in Malaysia will need to answer is, “Is it worth it?” An answer Netflix is waiting to hear.
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Photo Credit: Denys Prykhodov / Shutterstock.com
