Ted Sarandos

Source: Orlando Parfitt

Ted Sarandos

Netflix will end its DVD by-mail business on September 29 because the model is no longer viable – due in large part to the shift in viewing habits ushered in by Netflix’s pioneering streaming model. 

Netflix made its first foray into DVD rentals with the now-famous red envelopes back in 1998. 

“After an incredible 25-year run, we’ve decided to wind down DVD.com later this year,” co-CEO TEd Sarandos wrote on the company blog on Tuesday as it announced first quarter earnings. “Our goal has always been to provide the best service for our members but as the DVD business continues to shrink that’s going to become increasingly hard.

“So we want to go out on a high, and will be shipping our final DVDs on September 29, 2023. From the very beginning, our members loved the choice and control that direct-to-consumer entertainment offered, including the variety and quality of our titles and the ability to binge watch entire series.

“DVD paved the way for streaming, ensuring that so much of what we started will continue long into the future. We feel so privileged to have been able to share movie nights with our DVD members for so long, so proud of what our employees have achieved and excited to continue pleasing entertainment fans for many more decades to come. Thanks to all our employees over the years that worked so hard to build the booster rocket that got streaming to a leading position.”