In order to make its online video streaming offering more user-friendly in a country that is in the throes of a dustup over bandwidth caps, Netflix is cutting back on the amount of data needed to use its online video service.
Usage-based, or metered, billing has been a hot topic in Canada as service providers look to implement caps on the amount of data their customers can consume on their networks.
In response to bandwidth usage concerns, Netflix chief product officer Neil Hunt recently posted on his blog that Netflix will use two-thirds less data on average, “with minimal impact to video quality.”
With the new plan in place – there are three options to pick from – Canadians can watch 30 hours of streaming from Netflix in a month that will consume only 9 gigabytes of data, which is below most data caps.
“We made these changes because many Canadian Internet service providers unfortunately enforce monthly caps on the total amount of data consumed,” Hunt wrote.
Hunt did write that there would be “some lessening of picture quality with these new settings,” but users could opt to change back to their previous higher data usage settings and video quality on their own.
On Monday, Netflix struck a five-year deal with Viacom’s Paramount Pictures to add more than 350 films to its Canadian catalogue.
Like in the United States, Netflix’s streaming over-the-top service puts increased pressure on video providers in Canada, including Shaw Communications and Rogers Communications.