Over the last couple of days we have been monitoring a situation with Netflix regarding the problems they have been having with their shipment system. When we first heard about it, we didn’t think it was that big of a deal, but now that it’s been a couple of days and Netflix is still having issues, we figured it was worth mentioning. Webware is calling this “the worst system failure in the DVD shipper’s history.” Not good.
No one really knows exactly what the issue is other than it’s technical, but this is going to turn out to be a big loss for Netflix. They ship about 2 million DVDs each day and with no DVDs shipping on Tuesday, only a few shipping Wednesday, and few shipped yesterday, they’re going to have to refund their subscribers money to compensate for this outage.
Users who should have been receiving DVDs received this message:
Update: ABC News Reports that the problems with Netflix have been resolved and shipping resumes today.


15% refund is the message I got. That’s a pittance to the compensation we SHOULD be getting. How about sending double the movies at once, Netflix? Seeing as how I had to wait 5 days for my movies…that’s about the turnaround time for a group of 3 discs.
I used to be with Blockbuster, and I’ll probably change back. I NEVER had a problem with Blockbuster, and it’s cheaper.
15% is about equal to the number of days the service was down though.