26 Jul 2011

Netflix Reveals Facebook Integration Is Coming Soon, But US Users Will Have To Wait



Netflix released its Q2 earnings report Monday and the company has revealed that integration with Facebook is on the way and that it will probably be launched before the next earnings report is released.
However, you might be a little out of luck if you are a Netflix user based in the U.S. as the integration will not be available in the country at first. Due to legal complications regarding video sharing data, Netflix will be initially launching the Facebook integration in Canada and Latin America.

A bill has been introduced in Congress that will make the issue clearer if it is passed into law, at which point the Facebook integration may arrive in the U.S.
In the section of the earnings report titled “Facebook,” Netflix CEO Reed Hastings — who is a Facebook board member — and CFO David Wells say that:
We’ve made great progress over the quarter on our Facebook integration and we’ll likely launch it before our next earnings report. At this point, we plan to launch this initiative only in Canada and Latin America, as the VPPA (Video Privacy Protection Act) discourages us from launching our Facebook integration domestically.
Under the VPPA, it is ambiguous when and how a user can give permission for his or her video viewing data to be shared. A bipartisan group of lawmakers has introduced a simple clarification, HR2471, which says when and how a user can give such permission. We’re hoping HR2471 passes, enabling us to offer our Facebook integration to our U.S. subscribers who desire it.
Of course, video rentals already exist on Facebook. Warner Bros., for instance, has offered several movies for rent on the social network. However, the integration of Facebook into Netflix will likely be a far simpler affair — you will most likely only be able to share what you are watching with your Facebook friends rather than watch Netflix videos on Facebook.

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