Do you think that DVDs are dead? Sure instant streaming is all the rage, but Netflix apparently believes in the DVDs staying power. Don’t believe me? Just go to DVD.com and you will be magically whisked away to Netflix. It will take you to the subdomain dvd.netflix.com.
This suggests that the company might be planning to split its streaming and physical media services(again), as far as access goes anyway. According to a shareholder letter, the company’s U.S. DVD subscriptions were at 11.17 million at the end of Q4, for a total of $370 million in revenue. That’s $194 million in profit.
Streaming is $476 million in revenue with just $52 million profit, so you see, DVDs really are still alive and kicking. This new domain buy may mean that DVD-only customers may have a new site soon. That would allow them to focus more on their DVD loving customers and cater to them a bit more.