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By Dan Frommer. From the SplatF archives.
Wednesday, July 13, 2011 at 3:20 pm.

Think Netflix costs a lot now? Wait until you’re paying for it by the gigabyte

People continue to whine about Netflix’s price changes. But here’s the thing: That $6 price hike for unlimited streaming and DVD rentals is just the beginning.

Wait until your ISP switches your broadband subscription over to usage-based pricing. Then you’ll be paying for Netflix by the gigabyte. First, as part of your monthly download allotment, and then, if you’re a big watcher, as an overage charge. If the ISPs get their way, that could easily be more than $6.

Yes, the era of stream-whatever-you-want-in-HD is going to come eventually. But no one promised it was going to be cheap.

Netflix, meanwhile, would be very smart to start leading the industry in video compression technology — or at least figuring out who is, and partnering up to take advantage of their tools.

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