Netflix App Announced During Apple iPhone 4 Keynote, But Will AT&T Data Plans Hinder It?

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Steve Jobs iPhone 4The iPhone 4 is coming, and a Netflix app is coming with it. Finally. It’s taken a long time for Netflix to arrive on the iPhone but it’s now happening.

Unfortunately, it coincides with new AT&T data plans which will limit how much video can actually be watched on the iPhone.

Netflix Watch Instantly

Netflix is one of the two services I’d love to see extend beyond the borders of the U.S. The other, obviously, is Hulu. But I don’t want Netflix for DVD and Blu-ray rentals by mail, instead I want access to ‘Watch Instantly’, the streaming portion of the deal.

There are rumors that an international launch for ‘Watch Instantly’ is on the way, but for now it’s U.S.-only. And U.S. residents can ‘Watch Instantly’ via their computer, a Roku box, all three major games consoles, and more besides.

And soon, the iPhone too.

Netflix iPhone App

Apple CEO Steve Jobs today unveiled the iPhone 4 live on stage at WWDC 2010. And Netflix CEO Reed Hastings made a surprise appearance alongside him to announce that Netflix was coming to the iPhone this summer.

The Netflix app for iPhone and iPod Touch will be free and bring all ‘Watch Instantly’ content to iPhone owners. ‘Watch Instantly’ has been available on a multitude of devices for some time now, including the iPad. But it’s now finally coming to the iPhone after several rumors in recent months.

Hastings stated the experience would match that of watching on a TV or laptop. What’s more, HTTP adaptive bitrate streaming should mean the appropriate bandwidth is used whenever possible.

AT&T Data Plans

There is one problem on the horizon, however, with AT&T having announced new data plans for iPhone users which will severely limit the amount of video iPhone users will be able to watch on the device.

Unlimited is out, with a 200MB plan costing $15, and a 2GB plan costing $25 a month. The network insists that 98 percent of subscribers use less than 2GB a month anyway, but what about the other 2 percent? What also of those people who are likely to use the new apps, such as Netflix, which are coming to the iPhone in the near future?

They’re screwed, I guess. But it’s the fault of AT&T rather than Apple.

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