Netflix (NFLX) Wants to Dominate the Digital Living Room with Roku Partnership

We all know Netflix (NFLX) as the company that provides DVDs by postal mail. Some time ago, they added a feature where you can logon to their Netflix.com site, and watch selected movies through the internet browser without affecting the normal DVD by mail schedule.

However, watching a full two hour movie in front of one's Computer will not be a good experience. People have invested much money in their couches, high definition TVs and home entertainment sound systems. The next step is delivering content, such as DVD content from the home computer and internet to the comfort of the Digital Living room.

Apple (AAPL) attempted to market a similar solution using AppleTV but this product has not taken off.

Tivo (TIVO) is offering another option. Aside from providing Digital Video Recorder Functionality (DVR), Tivo is also working together with Amazon Unbox program where users of Tivo can download movies purchased or rented from Amazon.com (AMZN).

Netflix's Solution to the Digital Living Room

Now, Netflix is part of the competition for the Digital Living Room, Netflix is also now taking this route with its partnership with Roku. For $99, Roku is providing a special set top box where special on-demand movies from Netflix can be streamed directly to your living room television.

This service will not affect the normal DVD by postal mail service of Netflix.

Will this product work? I have recently ordered a Roku box and will try it out.

More details on the Roku Netflix Player here.

The battle for the Digital Living Room continues, and let us keep track of the trends in this area.

No More Analog TV Broadcasts in 2009

Did you know that by 2009, there will be No More Analog TV Broadcasts?

Can you imagine a world where people can no longer can get over the air analog TV broadcasts? This may mean a service disruption to many people with older Analog Sets. Cable companies may convert the digital signals back into analog for those with older sets. There is also a program where government subsidizes the purchase of special set-top boxes.

I see some investment opportunities in the future. People have been moving to HDTV some time, and for all those who have not upgraded, the 2009 deadline could help spur people to upgrade to HDTV.

Also, companies may use this opportunity to offer their "Digital Living Room" set-top box/computer at an inexpensive price. Companies may view this as an opportunity to get market share and lock in their customers.

But the changes will still be several years away. Let us look at this issue as 2009 gets closer.