Bad Timing for Netflix, Which Is Hit by Its Worst Outage Yet

Jul 19, 2011  •  Post A Comment

With Netflix already being viewed negatively by many due to its price hike announced just a week ago, the company endured another setback over the weekend with its worst streaming outage yet, Multichannel News reports.

The outage Sunday night lasted up to eight hours, with some problems extending longer, the story says.

“Netflix sent e-mail messages to subscribers offering those who were unable to access the service a 3% credit — worth 24 cents — toward the $7.99 per month streaming service,” Multichannel News reported.

In an email, Netflix VP of corporate communications Steve Swasey said: "It was an internal technical issue on Sunday evening for a few hours. We identified the problem and fixed it."

The timing is bad for Netflix, which is under increasing pressure from competitor Blockbuster in the wake of the price hike. Blockbuster is actively wooing customers who may be alienated by the Netflix price increase, as we reported last week.

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