Netflix goes live with TiVo streaming
Company also to replace higher-level tech support staff
By Danny King -- Video Business, 12/8/2008
DEC. 8 | Netflix today began making its digital titles available for streaming directly to TVs through TiVo digital video recorders, TiVo said in a statement. Netflix also said it will replace its higher-level technical support staff with general customer-service employees because of fewer customer-service requirements related to the streaming service.
The largest U.S. movie-rental service via mail will let go about 50 technical support employees next month, replacing them with general customer service workers, as Netflix's adoption of Microsoft's Silverlight component has decreased the number of customer calls requiring extremely detailed help, Netflix spokesman Steve Swasey said today. The company has about 300 customer-service representatives.
"This is strictly a technical decision. It has nothing to do with economics," said Swasey, who added that much of the higher-end technical staff was hired about two years ago when Netflix first embarked on its digital delivery service to personal computers. "We will increase our general customer service group by at least that amount."
As for Netflix's service through TiVo, today's availability of Netflix's 12,000 streaming titles marks the culmination of a partnership first announced four years ago. Netflix, which started testing the service with TiVo in October, has been trying to boost subscribers by augmenting its by-mail service with an expanded inventory of titles through its streaming service and partnering with component makers to allow the service to be accessed directly from TV sets.
In addition to TiVo, Netflix in recent months has reached similar video-streaming agreements with LG Electronics and Samsung for their Blu-ray Disc players.
