You have to wonder how much of this is due to Blockbuster favoring Blu-ray. I can see a lot of HD DVD fanboys signing up for Netflix just for this reason.
http://blog.compete.com/2007/09/28/netf ... ray-hddvd/
Coming from someone who just spent close to $500 to be an early adopter of the Blu-ray high-definition video disc format, these recent trends at Netflix.com came as something of a disappointment. Not only are very few Netflix shoppers — among the most enthusiastic of home video consumers — interested in Blu-ray, but the competing HD-DVD format is actually the more popular choice among the few Netflix visitors who care. During the period of June through August 2007, Compete observed the following: