Netflix Canada to Start Making Money During Q3


Have you signed up with Netflix Canada? The service made the splash in Canada in late September 2010, and the initial library continues to improve. Netflix announced its fourth quarter earnings today, and its revenue has continued to rise. They have just over 20 million subscribers at the moment. Sensational.

Today’s announcement shed some insight about its operations in Canada. Netflix says the Canadian service should start becoming profitable in the later third quarter:

Another variable clouding the outlook: Netflix unveiled plans to enter its second international market during the second half of this year after expanding into Canada last fall. The company didn’t identify which new market it’s targeting, but said it anticipates an operating loss of about $50 million on its international operations in the second half of the year.

The Canada service is supposed to start making money during the third quarter.

What’s also interesting to note, is that Netflix streaming on the latest Apple TV surpassed viewing from 15 million iPads. Impressive stat. According to Electronista:

Netflix while discussing breakthrough results on Wednesday surprised the industry with word that the new Apple TV was already more popular than the iPad for Netflix movie viewing. Apple’s media hub had already accumulated more viewing hours in its first four months than the iPad managed in nine. The movie rental service didn’t try to explain the gap, but it suggested many still preferred to use Netflix’s movie streaming on a TV despite the surge in tablet video.

We’ve watched more shows on the Apple TV versus my iPad. The Netflix integration with Apple TV is just awesome. Some hilarious gems I’ve seen recently include: Taken (for the second time), School for Scoundrels, Clerks 2, and Outsourced.

Below is a graphic comparing the number of streaming titles in Canada versus the USA from the Globe and Mail. The Canadian service started out with 7000 movies and shows, and has been updated twice so far:

Will The end of Unlimited Internet Affect Netflix Canada?

The CRTC recently allowed Canadian internet providers to practice “usage-based billing”, which essentially will lead to raised rates and reduced download limits. What perfect timing, just as Netflix Canada has started to gain in popularity. Rogers is also guilty of capping internet downloads just prior to Netflix Canada’s debut.

You can make your voice heard by signing the petition at (thanks Holly).

Netflix Canada is worth trying out as you can watch titles from any iOS device, your computer, PS3, XBOX, or Wii. The more people that sign up for the Canadian service will bring better content. I’ve already seen some awesome titles added to the library, such as Seasons 34/35 (plus 8 specials) of SNL, Top Gear, Republic of Doyle, and The Tudors to name a few. Watching all three seasons of Mad Men in HD alone makes the monthly fee worth it.

Click here to sign up for the free one month Netflix trial.

Are you signed up with Netflix? How do you like it so far?

[Canadian Press, GlobeandMail, Electronista]


  • holly

    Yes, one has to wonder what the impact of the CRTC’s decision to allow UBB will be. If it is not reversed I don’t think many Canadian’s will be able to afford to subscribe to Netflix. It makes me sick that this is happening, and I urge all Canadian’s to sign the online petition at

    Please spread the word and get involved before it is too late.

  • Markogreen

    30+ seasons of SNL are NOT on Netflix Canada. I wish they were though. Only season 34 & 35 plus some “best of” shows are all that currently exist on Netflix Canada.

  • Whoops. Fixed. 🙂

  • Anonymous

    I would totally get Netflix if I had Unlimited Internet. Having a cap on my Internet of which I use up almost all of it because I’m afraid to go over totally sucks ass.

    CRTC is stupid and their decisions just hold consumers back. All the major Internet companies also play a huge part in the cable tv business so it is not a surprise that they want people watching tv shows instead of watching the same show through a source that they don’t control (Netflix, Eztv, etc…)
    If the companies allowed us to watch programs when WE want then MORE people would actually WATCH IT…. Hmm I wonder why we are lagging behind a lot of other countries in the world for Internet? THANKS CRTC!!!

  • steve81

    The Globe and Mail graphic is probably correct, you’re just not comparing the same thing. If we go in the Credit Suisse report we can read: “We note that the TV show titles include full seasons of show, which essentially understates the total number of TV titles in the both the U.S and Canada”. In the Globe’s graphic, an whole season would be counted as one title, while you’re 7000 titles figure is counting the number of episodes.

  • AndreZ

    Netflix in the US seems to be a useful service. In Canada they just have junk. Why would I pay the same fee in Canada that someone in the US pays? When they get more movies I’ve heard of, maybe it will be worth it.

  • Thwarth

    I really enjoy netflix and I’ve had it for two months now. I also have three kids and they watch it non stop (Go Diego Go)! I love how I can stream on my iPhone, PS3 and computer. I even took netflix this Christmas to the cabin and streamed over 3G. It was a hit but I had to watch my usage. I burned through my 6 gig in about 5 days.

  • All the major Internet companies also play a huge part in the cable tv business so it is not a surprise that they want people watching tv shows instead of watching the same show through a source that they don’t control (Netflix, Eztv, etc…) ecommerce website developer

  • OrDiRecY

    Give us french content and i’ll sign up right away ! 🙂

  • Blag

    I used to live in Peru and move to Montreal about 9 months ago…the first day I heard the news about Netflix doing business in Canada…I instantly signed up and start using it…I have it on my Wii, IPhone and Ipad…true…they lack all the awesome content available on the US…but hey…the library is growing pretty fast…also, it’s great for my daughter who can watch all her cartoons…I love Netflix and I support it 100%…

  • iVictoria

    We have been enjoying Netflix Canada since the day it was launched in Canada. It allows us to watch when we want and as the library grows (look to the US service to see the potential for growth of titles) we will be able to watch what we want. We purchased Apple TV for Christmas and Netflix on Apple TV is in HD and wonderful viewing on our large LCD. We’ve discovered TV shows we never watched before (e.g., Mad Men and Huff) and our children enjoy their shows (iCarlie, Jake & Josh, etc…) when they watch TV. We canceled our Cable TV ($40/mo) as an experiment and so far nobody is complaining (sorry Shaw Cable). Try Netflix for 30 days for free and see what you think. Apple TV is worth the $119 + HDMI cable if you have a large screen TV but you may want to wait for the update to the A5 chip that is being rumoured.

  • Bryon

    I joined Netflix as soon as it came to Canada and my family loves it. $8 a month is a no-brainer and there is a lot of great stuff on there, even if they don’t have all the blockbusters yet. Did I mention it’s only $8 a month? A single rental from Rogers costs the same and you can only access it for 24 hours. And if you have kids, it’s even better. They have a great selection of kids shows & movies, which my 5 year old loves.

    As for bandwidth, I was originally concerned, but after a few months of pretty regular use (+ our other online activities like iTunes downloads, YouTube, etc.), we have been averaging around 50 GB per month, which is comfortably under the 60 GB cap. We probably watch 15-20 hours per month of Netflix.

  • Rs

    An employee from Netflix lurking around… 🙂

  • Anonymous

    I got an Apple TV for Christmas and signed up for the free month of Netflix. Although the service is fantastic – I love being able to easily watch movies, old TV shows on my TV and carry on later on my iPhone, the selection of new movies is non-existent. The selection of TV shows is better although I’d still need to keep my cable TV service but there are NO new movies at all. If Netflix brought out new movies on or around the same time as they came out on DVD, I would definitely sign up again and use it.

  • iVictoria

    Not an employee but definitely a fanboy especially now with Apple TV. The Apple TV UI works better then on Wii or iPad or PlayStation (we have Netflix working on all of those toys). As I said earlier, if you haven’t given it a try, they do offer a 30 day free trial. As for value issues, I don’t compare the service with that in the US because there is not comparison. (Your $8 gets far greater value in the US than in Canada. ) I compare it to the cost and hassle of renting a video from Rogers (late fees and all) or VOD from Shaw Cable and it’s a “no brainer”.

  • Lon

    The bandwidth cap is really annoying for an avid watcher like my wife. I don’t need the HD, i wish they offered a lower resolution option so we don’t chew through it so often – though we really shouldn’t have to be looking for solutions like that in the first place if bandwidth wasn’t such an issue.

    The catalog is still way too lean, and a lot of what’s there are b-movies most people wouldn’t want to watch.

    Netflix has lots of potential, but still could use work.

  • Vazandrew

    If you go into your account there is an option to disable HD streaming. You also have to keep in mind the US version has been around for awhile, i’m sure it was lean when it started too.

  • Vazandrew

    That’s not going to happen. Even in the states they have to wait before they make new releases available. If that’s your primary focus there are alternatives.

  • Carl

    They’ve been adding french content this past week or two.

  • Anonymous

    What is the time frame in the US? How long after the DVD comes out will it appear in Netflix for streaming? If it’s just a few weeks, that would be fine. However, right now I don’t see any movies that came out in the last few months on the Canadian site.