These articles always miss the point. Netflix isn't going to replace cable tv...not becuase people prefer cable to the internet, but because the cable companies simply aren't going to let them! As soon as netfilx looks at all like a serious threat to cable you are going to see all out war...free movies, streaming products of their own, monopolizing streaming rights, you name it. Comcast, etc have HUGE warchests, and Netflix exists at their mercy. Netfix can be a niche player forever, but they better stay on their side of the steet. That's why Netflix itself was so quick to point out in tis article they are not planning to replace cable!
huh? Cable companies are not content providers - they are content deliverers. Netflix is a content deliverer. They are direct competitors. Cable has alway been a content bundler - an consumers loathe paying for content they don't want or use - netflix will allow, like Itunes, for users to pay only for the cotnentt hey desire. Cable fades away...
And they have the relationships and warchest to outbid NFLX for the content people really want to see. NFLX can be on every electronic device known to man, but its product is constrained by content providers who view it as a threat.
cable is an ossified (i.e., already dead) industry that can only sit and wait for the lights to get turned off.
anyone with a brain whose been a cable customer for the past 30 years knows this. just to give you one example (and there are many) of just how inept and insignificant cable is, consider that my cable box interface actually became much less usable -- that is LESS usable -- over the years, and its not just me who feels this way. EVERYONE hated the new box software, but it was probably cheaper (maybe they were tired of paying licensing for the software that they were using). and THAT RIGHT THERE tells you where cable is. they have given up the ghost. the fat lady is singing.