Netflix Confirms It's Coming To The Wii: But Most Wii's Aren't Internet Connected

As I reported in October, when I got access to some screenshots of Netflix streaming on the Wii, Netflix confirmed today that come this spring, Netflix members will be able to get streaming video to their Wii consoles. Similar to Netflix's offering on the PS3, users will be required to insert a DVD into the Wii console each time they want to stream something from Netflix.

While the current Wii console is not capable of displaying video in HD quality, for most Wii users, they won't care. I am willing to bet that the vast majority of content that will be consumed via the Wii is going to be content for kids and families where HD won't be a requirement. And in many cases, the content Wii users are going to consume, like cartoons, would not be impacted by the lack of any HD version.

Many have suggested that when Netflix is able to bring streaming to the Wii that it would be a big deal for Netflix since Nintendo has the most gaming consoles in the U.S. and has sold 26M Wii's to date. While it is a big deal for Netflix, the Nintendo deal won't be as successful or more widely adopted than the Xbox 360 platform, even though Microsoft has 6M fewer consoles in North America.

The biggest problem is that most Wii's are not connected to the Internet. While it is impossible to know exactly what percentage aren't connected, folks inside Nintendo have told me the figure is as high as 85%. And for anyone who wants to hook up their Wii to the Internet via a wired network to enable Netflix streaming, they have to go out and buy a $25 Wii Lan Adapter. Compare that to the Xbox 360 where Microsoft has said that roughly 80% of all 360 consoles are connected to the Internet and you get a clear picture that the Wii won't have that big of an impact on Netflix's revenue in the short or near term. It's a great deal for Netflix and for Wii users, but the impact to both companies won't be felt within the next year.

Comments

[Janko Roettgers]

It's possible that many people haven't hooked up their wii, even though I'd think that this should change as more games make Internet access quasi-mandatory. Beatles Rock Band stalls for minutes every time it fails to access the Internet.

Also, why would anyone want to hook up his wii with an Ethernet connector? It comes with Wifi, after all.

[Dan Rayburn]

Lots of things come with WiFi, but many of them do not work well. My TiVo is only 20ft from my wireless router but gets a signal strength of "poor", no matter what USB adapter I use. Once I took the time to run a cable through my attic and connect it via ethernet, it was like night and day.

Also, keep in mind that many cable companies supply a router with no WiFi capabilities. I know a lot of folks who have no WiFi as a result and simply plug their one computer into the router directly. They have no WiFi capabilities unless they go out and buy one with WiFi to connect to the cable router.

[TJ Kudalis]

This is a neat direction for Netflix to go, but accessing the Internet on the Wii has always been a pretty crappy experience. If I had to wait for that thing to freeze for two minutes every time I tried to load up Netflix, I'd probably cancel my subscription. It sits next to my lovely Roku, which also works wirelessly, yet somehow is much, much better.

They'll need to smooth out the experience if they want it to sell.

[Intheknow]

Streaming through the Wii is possible via playon.tv. It turns your desktop into a media server and connects to your Wii as a UPnP connection, which you launch as a Wii channel. Pretty neat. Playout quality is okay.

[Sid]

Hey Dan, sorry for commenting on such an old post but plz i really want to know one thing from the expert himself! When you said earlier that you had been shown Netflix streaming on Wii in HD, everyone seemed very excited about it because they knew you had reliable sources. But why is Reggie repeatedly denying the Wii HD's existence? And now that Netflix streaming is coming to the Wii in SD, and HD update seems unreal :( :(

"PLEASE" tell me that's not true! I am planning to buy a PS3 in April but if the rumored Wii HD is coming for sure this year then i can most definitely wait :) I am what they call a Nintendo fan boy, and dont want to buy the Wii because of it's small library (I really don't care about the graphics) Help me out here Dan! I'm a big fan of yours so please don't ignore my comment :)

[Dan Rayburn]

Hi Sid. No where did I say that I "had been shown Netflix streaming on Wii in HD". I said I saw screenshots of Netflix on the Wii, but I did not say that it was screenshots of "HD" video. I have no idea if/when an HD Wii will come out. That's only what I was told.

[jenn]

I thought the "vast majority of content...will be for kids and families" and therefore "won't be impacted by quality" comment was dismissive. I'm guessing that remark results from women constituting a significant portion of Wii's demographics. (And then the undercurrent being that women always indulge their kids and/or women don't know technology so they won't know what they're missing.) Kids play a lot of Xbox - why is it "cartoons" will only be watched on the Wii? Yes, gamers constitute a significantly larger percentage of Xbox players than Wii players, but that doesn't mean non-gamers watch cartoons.

Many don't have DVD players that are connected to the internet, and many with TiVo aren't maximizng its internet capabilities. Given the broad reach of Wii, I think this will end up prompting a good number of technology-lite folks to hook their Wii up online. It's be the gateway to streaming on your TV. I'm curious as to the demographics of who's picked it up so far.

[alterseekers]

It would really be great if they can get Netflix streaming for Wii users too. This gives us more ways to enjoy our internet-ready gadgets at home connected wirelessly via a wireless router. And speaking of wireless routers, if you're looking for a good one, I recommend you check out the Netgear Wireless Router for Video and Gaming. You can use this device to connect computers, gaming consoles, notebooks, or wireless printers, and also your networked home theater devices. You can also use this to stream video and music from a USB drive to media players and DLNA TV's, even without using a computer. Now that's one powerful wireless router for you. For more information about Netgear's Wireless Router for Video and Gaming, check out this site: http://bit.ly/bByST7. Enjoy!

[Buy Wii]

Well, there seems to be better option for internet connectivity now for the Wii just one year later. We have really enjoyed ours and have started watching Netflix movies from Pc to Tv which is great!