Netflix renames DVD-by-mail service Qwikster, adds video games to catalog

Streaming video service to remain under Netflix name, still has separate cost
Streaming video service to remain under Netflix name, still has separate cost

Netflix is moving forward with its plan to separate its streaming video and DVD-by-mail divisions by renaming the DVD service, Qwikster. In a blog post late last night, Netflix CEO Reed Hastings apologized for how he handled the July price hike for both services, but promised it was part of a larger plan to expand and grow both divisions.

The Qwikster name and logo will start appearing on the red envelopes users receive in the mail. The DVD portion of the Netflix website will move over the the Qwikster site which is currently under construction. Users that subscribe to both services will have separate logins and they will have to enter their credit card information again on the new site.

To show that Netflix isn't abandoning their mail service, Reed Hastings also announced that video games will soon be available through the mail. This service, similar to the one already offered by Gamefly, has been requested for quite awhile and will cost an additional fee like Blu-ray rentals. This will also go head-to-head with Redbox which already started offering video game titles for $2 a night earlier this summer.

Netflix's streaming video service will be getting substantial improvements as well, though details weren't revealed. However, it was announced this month that Netflix's deal to stream Showtime and Starz programming will end early next year as the premium cable channel seeks more control over internet access to its show content.

Reed Hastings and the CEO of Qwikster, Andy Rendich, have uploaded a short welcome video going over what the blog post covers as well as offering more apologies for mishandling the summer's price increase. You can watch it below.

[Netflix blog via AllThingsD]

Article by Dan O'Halloran

This article originally appeared on Tecca

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