As most Xbox 360 owners know (at least those that have an Xbox Live! account) the new Xbox Live! interface went live today. This update completely revamps the interface adding a number of features like 8 person chat and Avatars. More importantly, for those with a Netflix account, Netflix streaming of movies has been made available. This editorial will be a short review of the interface changes and a more in-depth one of Netflix streaming.
The interface has been completely revamped from a more tab based with limited options on the screen to what looks to be subsequent screens fading off into the distance. This actually makes more information available to users at one time. The overall look of the interface is much improved with much better graphics and integration of your chosen theme. Flipping through the different screens is mostly quick though it does seem to make the entire interface a bit more clunky. There are a number of categories including:
With all the new features, it would be nice to have a "favorites" list under My Xbox to simplify things, though that probably would mean that much of the additional advertising... er... content would be missed by the average user. One thing I did like was that when you disconnected the controller, the interface didn't immediately lock up until you turned on the controller. While this isn't a big deal for casual user (to adjust settings or navigate menus) but when you are watching a video, saving those batteries for more important things than just being ready to pause a video is paramount.
Owing more than a little to the Wii and their Miis, the Avatars are customizable "people" that represent you on Xbox Live. I thought that I would hate the little dudes but really, I don't. They look much more grown up than the Miis (less big-headed). You can customize their size, shape, color, clothes, and accessories. You can also save outfits so that you can switch them easier (in case your Avatar is going to a formal dinner I guess). The most extensive options are in the Avatar's features such as eyes, nose, mouth, etc. with a fairly limited number of clothes available. I was able to quickly put together three different outfits and saved them depending on my mood. It was easy to do and actually pretty fun. There is a photo option that lets you pose your Avatar and use them as your Gamer Picture. Of course, you can still use the Gamer Pictures you downloaded if you prefer.
On the Friends menu, anyone who you have friended will be shown in Avatar form. When you scroll over them, a word balloon (a la comics) will pop up with their name in it. What background they are on will depend on what theme you have choses. It will also show you where they are or what they are doing in some fashion. If they are playing a game, it'll let you know which so that you can ask to join or invite them to a different on. If your friend is offline, their Avatar will appear to be sleeping standing up.
For me, the most important thing I was interested in was the Netflix streaming. I already have a Netflix account (have been a member for a lot longer than I've worked for Audioholics) so it was a no cost upgrade. For other Live users, it is a $9 a month subscription fee. First the bad - when adding movies to your "instant view" list, it will sometimes tell you that a movie isn't available on Xbox. It appears that there is some conflict with the classic video download service that has long been available through Xbox Live and other services. Netflix claims to be working out the licensing issues. Second, stereo audio is as good as it gets.
The good is legion. Setup was a matter of signing in to Xbox Live and getting a code and entering it into a screen on the Netflix website. A few seconds later and I had access. From there, you need to add movies to your Watch Instantly queue manually. Each time you add a movie, it'll take anywhere from a few seconds to a minute for it to show up on the Xbox Live interface. While your viewing experience will vary based on the speed of your connection, I have a cable connection (basic package) and I am hardwired through the Belkin Powerline AV+. With this connection, I get 4 out of 4 bars for standard definition streaming and between 2 and 3 out of 4 for high definition.
I had no idea this was available on Netflix but apparently it is. The picture difference between the SD and HD was substantial with the SD picture noticeably softer than the HD. I was very surprised at the HD picture how clean and clear it was. With Ratatouille in standard definition (and 4 out of 4 bars connection speed) the picture was rock solid, the motion was without judder or blur. The 2 bar connection speed on an HD movie showed many more visual artifacts and motion blur. With 3 bars, the motion blur and macroblocking was much reduced (to the point that only I noticed it and not any of my family or friends. Still, the fact that Xbox Live can stream HD in any form is impressive. Given that Roku claims that they'll be able able stream HD from Netflix at a lower bandwidth could mean that HD isn't out of the realm of possibility for the common user.
Queuing up a movie took all of a few seconds (never longer than a minute) and stayed stable for the most part. Once, when I had gotten a 3 bar connection speed, the connection slowed and had to reload the movie (presumably at a 2 bar speed). It is unclear if that is going to be a common occurrence or not (though it happened to one of our other reviewers as well). When watching a movie, you can stop a movie at any time an it will remember your position. It also tells you how much (percentage) of the movie you've watched. Rewinding and fast-forwarding is a bit clunky and requires you to re-queue the movie but it works. Overall, I'm quite impressed with this service. With probably more people online trying it right now, the fact that it hasn't totally crashed probably says more than anything else.
The new "Xbox Experience" has done something that Microsoft hasn't done in a long time - impress me. Perhaps it was because my expectations were so low after I saw how they were aping the Miis with their Avatars. The fact is that I had high hopes for the Netflix interface and they were all fulfilled or exceeded. I had no idea we'd be seeing HD streaming in any form at this time. I had hoped it would be better quality but it is good enough for the movies that are available (most seem to be TV shows or documentaries at this time). I'll experiment more and you can bet you'll be hearing about it on AV Rant.
Edit 1 - There was already an update to Netflix which seems to have increased my HD streaming speed to 3 bars pretty consistently. This significantly increases the quality of the viewing experience (no, it doesn't touch Blu-ray and is still is stereo).
As Associate Editor at Audioholics, Tom promises to the best of his ability to give each review the same amount of attention, consideration, and thoughtfulness as possible and keep his writings free from undue bias and preconceptions. Any indication, either internally or from another, that bias has entered into his review will be immediately investigated. Substantiation of mistakes or bias will be immediately corrected regardless of personal stake, feelings, or ego.
Netflix was founded in 1997 by Reed Hastings and Marc Randolph as a DVD-by-mail service. The idea came after Hastings was charged a late fee for a movie rental. Customers could subscribe to receive DVDs by mail. The company later expanded to streaming and now has millions of subscribers.
The company at the time struggled with two fundamental problems in their business model. One was that because the DVD was sent via mail, it would take anything between one day to 4 days for the shipment to reach the subscriber. Even though people were likely to try Netflix, conversion to repeat rentals was low. Secondly, people would far more inclined to rent out the latest releases. For the company to break even on the cost of purchasing a DVD to rent-out, they would have to generate 15-20 rentals for each DVD.
Secondly, to enable maximum utilisation of their DVD content catalogue, the company created their movie recommendation system. Through Cinematch, Netflix would recommend shows for their subscribers to watch. The point for this was to alleviate pressure for DVD rentals away from new releases, to a more uniform renting out of their content library. This solution has over the years become considerably sophisticated, and drives how customers experience Netflix and how the company makes decisions when acquiring new content.
Netflix put further pressure on competition when they announced the launch of their streaming service in January 2007, as Watch Now. At the time the streaming service was expected to be of use only for power users with broadband internet connections, which were not all that common at the time. Users were required to have a 1 mbps internet connection to be able to stream movies, with a 3mbps connection required for streaming DVD-quality films. Subscribers under the $17.99 plan had access to 18 hours of streaming content. Video delivery was through a special browser applet that subscribers would have to install. By 2008 however Netflix had given access to unlimited video streaming for subscribers to its biggest plan .
Prioritising building a robust technical infrastructure has helped Netflix keep their first-mover advantage. Oftentimes the first-mover advantage is squandered by technology companies who have to make way for businesses that solve the problem more efficiently. Netflix, however, by relying on a solid content and technical team, has managed to keep its competitive advantage since the launch of its streaming video service.
As the company started working towards building a streaming video solution, they also started to develop solutions for streaming video through hardware platforms. In 2004/05 the company was considering working with contract manufacturers on DVD disc drives with a video processor, which could download video content over the internet, and then stream it on TV. This model was similar to TiVo, which enabled TV owners to record TV shows on a disc. This was however shelved as competition with Blockbuster intensified and Netflix had to put resources into engaging in a pricing war with the market leader.
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