Netflix Excludes Puerto Rico, Charges Full Price

by hramos | June 3, 2009 at 10:33 am
1004 views | 0 Recommendations | 14 comments

You know Netflix, right? The online DVD and Blu-Ray Disc rental service that everyone loves. If you’ve never heard of Netflix, they basically charge you a flat monthly rate and in exchange they will mail you one or more (depending on your plan) movies for you to keep indefinitely. No late fees, no time limits, watch them whenever you want and toss them back in the mail when you are done.

This is an excellent idea. I’ve been using Netflix on and off since the early 2000s, even though their turn over times for Puerto Rico are usually in the three to four day range (as opposed to next day delivery in most US cities). I gladly paid the monthly rate which let me keep up to three movies at any time, and I would rotate through my queue so that I would always have two movies at home while the third one came back from Netflix. There was never a shortage of movies to watch at home.

Then Netflix came up with an even greater idea. Instant Streaming of movies! As part of your membership, with no extra cost, you would be able to stream a limited selection of their movies and watch them on your computer. By the time they came up with this feature, I had placed my account on hiatus as I had been very busy at work and wasn’t able to watch too many movies.

However, a couple of companies, such as Roku, came up with standalone Netflix streaming devices. These devices allow you to Instant Stream your Netflix movies and watch them on your HDTV, no need to be stuck on your computer chair watching them on a small screen. Then Microsoft released an update to the Xbox 360 which included Instant Streaming support for Netflix members (as long as you also pay the Xbox Live Gold membership fee).

This was perfect. I reactivated my subscription to Netflix, which made promises of Instant Streaming anywhere in the USA, anxious to test out this new feature on my Xbox 360. You can guess what happened next - Netflix told me I can not make use of this feature, one which I am paying for as part of my membership, because I live in Puerto Rico. A territory of the United States, not a foreign country! We are US Citizens, use dollars as our currency and of course the USPS handles all of our mail, including the delivery of Netflix discs.

I was enraged. I contacted them only to be told they only support the 50 states of the United States of America, which does not cover Puerto Rico due to our status as a territory. Great. I pay full price and get a feature cut off, which wouldn’t cost extra to Netflix considering I am paying for my own bandwidth and they don’t have to mail anything “all the way over here”.

There was a work-around, however. The way the Xbox 360 & Roku works with Netflix is by asking for a device code that is used to link your Netflix account to your device. If you would try to generate this device code on your computer while in Puerto Rico, Netflix would deny your request. However, use a proxy or, as in my case, use your iPhone 3G connection, and Netflix will happily generate a device key for you to use. For the longest time, Netflix would not test your device’s IP to make sure you were still within the 50 United States, so this allowed me to make use of Instant Streaming for six months. It was GREAT, I could watch many movies I would rather not wait for the disc to arrive. I could just browse around and add many rare, unheard of movies and watch then randomly as I wished. Until one Saturday morning, it all stopped working.

I tweeted about the sudden Instant Streaming failure on my Xbox 360. Over the rest of the day, fellow Xbox 360 and Roku owners reported similar results. Netflix had blocked our Instant Streaming work around. Within days, a couple dozen of Puerto Rico Netflix customers had cancelled their service. Most of them where extremely happy with the Netflix disc service, but were disgusted with the differential treatment given to Puerto Rican customers. My girlfriend cancelled the service even though she had never made use of the Instant Streaming feature - the reason, of course, was because Netflix had always blocked the feature from working on your web browser.

We have called out Netflix, seeking answers, and all they’ve said is that Instant Streaming is not supported outside of the 50 states. They haven’t addressed the issue of why they are charging us the same price for half the service. Nor have they justified their reasons. Even Hulu, which once blocked Puerto Rico, changed their policy once they realized Puerto Rico IS PART OF THE UNITED STATES.

I apologize for going on so long on this rant. All I want is for my fellow Puerto Rican Netflix clients to show up and share their stories. Let our voice be heard, my intention is to collect all of these stories and make them public. They can disregard a single user inquiring about their lack of support for Puerto Rico, but our combined wallets should make them reconsider.

If you are a Netflix subscriber in Puerto Rico, please do your part and CANCEL your membership TODAY. You are not getting the full package that you are paying for.

Did you cancel Netflix because they don’t provide Instant Streaming in Puerto Rico? Are you considering doing so? Please share your stories in the comments.

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Jarrett Martineau

Thanks for the post. As this was first published on your own blog, please use the Highlight tool to quote an excerpt from it. For more help, check out our FAQ.

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coreanomac

Hope that Netflix fix that. I canceled already my membership and a lot of my friends and co-workers to. 

RobertSan Juan, PR. 

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liquilite1

The solution to this is easy...the next time the vote comes up to make PR an actual state, you vote yes and pay taxes like the rest of us instead of remaining a commonwealth territory. PR wants all the benefits the US has to offer without any of the sacrifice.

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Jose Perez

All the benefits?...like the great US of A does not benefit from us...you think they keep us out   of pity? yeah right USA will do that without benefiting from something, tell that to families of all the Puerto Rican soldiers who have given their life for your country...is all the benefit  monetary to you perhaps?


Back to the subject, we are talking about netflix and darling, I pay for it (sacrifice) I'm only asking for the benefit (full service)


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TexasJohn

I expect many more unfounded comments, such as that one made by liquilite1, to flood this article shortly.

Puerto Rico is prohibited from foreign commerce, which locks the territory into expensive contracts with the United States of America. This more than makes up for the "not paying Federal taxes" part. Trust me, if Puerto Rico was anything like a money black hole, it would have had been gotten rid off a long time ago. That's why the USA still holds on to the Territory.

I'll take your silly "no sacrifice" comment when the USA stops sending Puerto Rico soldiers off to "silly wars".

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liquilite1

http://www.allcountries.org/uscensus/1342_puerto_rico_merchandise_imports_and_exports.html

Is the US Census unfounded info? They import/export from many countries, not just the US.

Sacrifice meant taxes/statehood which was what I was talking about in the first place. I dont remember mentioning military service ( which is voluntary, if you forgot). But we digress..personally, it looks like the author is crying that his (illegal) "work around" was discovered, knowing Netflix's streaming policy. But, if they were an actual state, they wouldnt have a problem. Ultimately, this was my point.

 

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Jose Perez

It;s not illegal, Puerto Rico is part of the United States, if they stream to DC why not here? Anyhow, you conveniently ignored the  economical benefits the other poster  pointed  out...


You are insane if you believe the USA would keep us if they weren't benefiting in some form from us...

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kano163

Don't speak what you don't know my friend, Our ports are control by the US, We import and export thru US Contracts (Navieras for example), we as a country are not allow to trade with other countries if US don't approve the trade.

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x556

I will cancel my account. AGAIN. I was doing the proxy trick today and I was digusted by the message. I googled this blog. And I have a better idea. I'm really serious about this, we should have a meeting in Puerto Rico in a central place. And schedule a call marathon. Each day one of us calls to netflix and argue about their silly politics. We must make a difference, I believe cancelling the account won't be enough, US is heartless, we must give them hell so they can really listen. Maybe talk to representatives at Washington D.C. IDK anything that really stands for our RIGHTS. And I'm really serious, I am enraged of our treatment, we must be heard, who is with me???

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cristi

liquilite you should consider not commenting at all, one might think that all North americans are as ignorant as you and I am sure thats not true or I hope not. Who do you think makes those deals importing and exporting? USA! We are part of your countries economic wealth dont be that naive. I canceled my netflix membership six months ago after using netflix for about two years, so that is 30 dollars per month netflix wont be receiving from me!

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kano163

I Canceled my membership today just because I can't do Instant streaming thru my Xbox360, That was the reason I got Netflix in the first place (I was very very happy with the service), now that I don't have instant streaming it's not worth it. I hope they allow us to have instant streaming soon (I enjoy and miss the service) Puerto Rico is part of the USA every other service like Hulu, ABC, etc have us included I don't understand the reason Netflix have us out.

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La rubia

I would like to have the service in PR.  I hope they can resolve this issue soon.

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Juan Juan

Hello people today I had the same problem. Customer support told me that it is because their agreemet with the movies houses....well in the comments about the taxes let say some things about Puerto Rico well .... We are american citizens since 1917 USA have been establishing business, taxes and selling army training time in one of our little islands for milllions. The KMart, Wall Mart and JCPenney here in PR are the ones that sells more in all the USA domains. We pay social security, medicare and other taxes. A lot of pharmaceuticals industries are here in PR and a lot lot of other things that make money for the USA....so whats make you think that USA have a relation with PR for nothing....so the fact if we a are or not an State it doesnt have any relation with Netflix conflict.....

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Fernan

I've also canceled my Netflix membership for the very same reason.  I want to add to the discussion that they are probably getting pressure from the publishing houses because those very same publishing houses has an "isolated" regional market they want to exploit.  The island of PR is a huge money maker for the big chains.  Examples are all around, why Kmart in PR was never affected by their bankruptcy whereas in the US mainland they were in deep trouble?  Often prices in PR are unreasonably inflated when compared to similar article in a US store(ie. Best Buy, Circuit City, they even ended up canceling shipping to PR from their respective websites!), and shipping costs does not have anything to do with it.Finally, I haven't seen or read anyone commenting on how Netflix charges you the full price plus the PR sales tax.  Since they don't have a business entity located physically at PR I don't think they should be collecting that tax.  Even more, I don't believe they pay those taxes back to the government either.I believe they're ripping-off PR customers.  This is just my thinking, but they may be at the borderline of theft.Have anyone given thought to these points.  Please comment.

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