"Netflix announced Qwikster on September 18, 2011. Cancelled it on October 10, 2011. 22 days. One of the fastest corporate reversals ever."
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RAISED
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EMPLOYEES
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MONTHS
founder chaosSilent Shutdown
Quiet closure with no public announcement
// Fatal mistake: Account separation forced users to consciously choose between products — and many chose neither
Key Events Timeline
2011-01
FOUNDING
Qwikster concept originates internally at Netflix as Reed Hastings begins planning a structural split between streaming and DVD-by-mail services.
2011-06
SHUTDOWN
Qwikster is permanently abandoned and ceases to exist as a brand or entity, having never processed a single customer order or operated as an independent company.
2011-07
PRODUCT LAUNCH
Netflix announces a 60% price increase separating streaming and DVD plans, raising the combined monthly cost from $9.99 to $15.98, triggering immediate customer backlash.
2011-09-09
CEO CHANGE
Reed Hastings publicly announces the Qwikster spin-off in a blog post, revealing that DVD customers would need a separate account, website, and billing from Netflix streaming.
2011-09-15
REGULATORY ACTION
Netflix stock falls approximately 25% within days of the Qwikster announcement, wiping out hundreds of millions in market capitalization as Wall Street reacts negatively.
2011-09-30
LAYOFF
Netflix reports losing 810,000 U.S. subscribers in Q3 2011, the largest single-quarter subscriber loss in the company's history at that time, directly attributed to the pricing and Qwikster backlash.
2011-10-10
PIVOT
Reed Hastings reverses the Qwikster decision just 22 days after announcement, canceling the spin-off before it ever officially launched in what became one of the fastest corporate strategy reversals in major tech history.
🔥 Hall of Flame 62%🏆 Hall of Fame 70%
In September 2011, Netflix CEO Reed Hastings announced that Netflix would split into two separate companies: Netflix (streaming) and a new company called Qwikster for DVD-by-mail.
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