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Netflix agrees to pay Verizon for high-speed interconnections

Netflix has a new bonanza for its customers, who access its streaming service on Verizon’s network. As reported, the company has agreed to pay Verizon to ensure the faster access on its broadband networks to customers using Netflix on Verizon, for better streaming experience.Netflix-2-jpg

Of course, this sudden news has given a new edge to the wage war with Comcast (NASDAQ: CMCSA). The company had been opposing the $45.2 billion merger between the nation’s top notch streaming source MSO and Time Warner Cable. May be, to this reply Netflix has approached to amend its relationship with Verizon.

Netflix has been blabbering atrociously on its better access to overcast Comcast’s network as observed by the Ken Florance, the vice president of content delivery at Netflix. Nevertheless, Netflix has constantly been complaining about the Comcast, forcing to pay for better access. As far as data published on the blog, the Florance produced on chart that deliberately indicate that Netflix performance has been deteriorating as compared to Comcast network, but the condition improved succinctly after the company started paying Comcast (for direct interconnection) in February.

However, the price tag for this service is a little hazy, but spokesperson for Netflix has confirmed regarding the deal saying:

“The company have acquired an interconnect arrangement with Verizon, that will certainly enhance the joint customers over the coming time”.

Surprisingly, Comcast is not the only broadband pipe that is at monger-heads with Netflix. In one of the letters to the shareholders, on second quarter earnings, Netflix CEO Hastings and CFO David Wells said AT&T’s, a fiber based U-verse service “caters to lower performance than many DSL ISPs such as Frontier, Century Link and Windstream”.

Moreover, it suggested that “it is a free and easy available for AT&T to link up easily with the Netflix to improve the customer’s experience. Recently, Netflix users found increased streaming speed of up to 2.5Mbps on Comcast’s braodband.

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About Ariana Whitmore

She has been writing columns on consumer gadgets since 2010. Her areas of interests include smartphones, tablets, mobile OS and apps. She holds M.C.S. degree and working on her startup, which aims to solve IT support issues.

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