Lack of Saturday Mail Might Actually Help Netflix

Its postal bill will shrink, and people can't watch as many videos
By Newser Editors and Wire Services
Posted Feb 7, 2013 4:18 PM CST
Lack of Saturday Mail Might Actually Help Netflix
A Netflix envelope containing a DVD is clipped onto a mailbox, in Springfield, Ill.   (AP Photo/Seth Perlman)

The Postal Service plan to eliminate Saturday home delivery probably won't hurt Netflix, one of its biggest customers, observes AP. That's because Netflix's postal bill will shrink and subscribers probably won't watch as many DVDs while paying the same monthly fee. The story might have been different if Saturday mail delivery had been cut a few years ago, when DVDs were still Netflix's main business. Now the company boasts far more Internet video-streaming subscribers. Investors drove Netflix shares to a new 16-month high yesterday after the USPS announced its cuts. (Too rosy of a view? A Forbes columnist thinks the move might force Netflix to become an all-streaming company.)

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