Netflix’s Squeeze — No Not That One, The Other One

While Netflix blew up the short-sellers last night with solid earnings, thus causing a monster short squeeze in its stock today, it is squeezing in another way that doesn’t get talked about much: bandwith. A new report from Sandvine makes some eye-popping claims about the video streaming service’s prodigious appetite from primetime U.S. downstream bandwidth. [-]

Within North America, we observed that Real-Time Entertainment is the largest contributor to data consumption on both fixed (43% of peak period traffic) and mobile access (41%) networks. Within that category, Netflix is a major source of content, representing more than 20% of downstream traffic during peak hours on fixed access networks, and is heaviest from 8pm to 10pm. [Emphasis mine]

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