Netflix announced their partnership with Cablevision to deliver “super HD” programming and 3D content to Cablevision customers who are also Netflix subscribers. This is the first deal of its kind in the U.S., with Cablevision being the only American MSO to be part of Netflix’s Open Connect content delivery network. Other partners include international companies like Mexico’s Telmex, British Telecom of the United Kingdom, and Canada’s Virgin Media and Telus.
According to Netflix, Super HD offers a much better resolution than the 1080p Hi-Def programming, which should be especially exciting to consumers who refuse to compromise on picture quality.
Cablevision CEO Jim Dolan stated, “Optimum is committed to providing the highest-quality TV, phone and Internet to our customers, and our new partnership with Netflix supports this critical objective.”
As recently as last year, Netflix approached cable MSOs with the opportunity to bundle Netflix subscriptions with pay TV packages. While no deals have been struck as of yet, streaming video companies like Netflix has been cited as one of the biggest reasons why pay TV subscriptions have remained flat or declining. If customers come to view Netflix as a companion service to their pay TV service, it could be a win-win situation for both Netflix and the pay TV provider. However, it seems as if many viewers are using Netflix as a replacement entertainment option rather than a complement to a pay TV subscription.
This new partnership between Netflix and Cablevision could be a sign that similar partnerships with other pay TV providers might be on the way. If this joint venture proves to be a hit with customers, future partnerships with other cable or satellite providers will become the inevitable, rather than just the possible.