I think Netflix understands that the future is in streaming and not mailing out physical DVD's. Technology has advanced to a point where we can now watch movies

I think Netflix understands that the future is in streaming and not mailing out physical DVD's. Technology has advanced to a point where we can now watch movies in our flat screens with DVD like qualities from streaming. Mailing out DVD's are costly to the company. The change in price is designed to encourage streaming in my opinion. The more people sign up for the streaming service the more movies they can afford to upload for people to watch. In the long run I think this is a really good strategy. The price increase should have been a little lower though.