Netflix's video service debuts in Sweden, Denmark

AP News
Posted: Oct 16, 2012 6:12 PM

SAN FRANCISCO (AP) — Netflix's Internet video subscription service is now available in Denmark and Sweden and will make its debut in two other Nordic countries this week.

The service began showing movies and old TV shows on Internet-connected devices on Tuesday in Denmark. Swedish customers got their first chance to watch Netflix's selection on Monday.

The Nordic expansion, which Netflix announced two months ago, will continue in Norway and Finland this week.

In Sweden, the service costs 79 krona, or about $12, per month. In the U.S., Netflix only charges its U.S. subscribers $8 per month for Internet streaming.

In Denmark, the price is 79 krone per month, which translates into nearly $14 per month.

Netflix Inc. is trying to gradually build a worldwide following for its service, which began as a DVD-by-mail rental plan in the San Francisco Bay Area during the 1990s.

The company, which is based in Los Gatos, Calif., ended June with 26.5 million subscribers in the U.S. and about 3.6 million in other countries. Netflix also sells its service in Canada, the United Kingdom, Ireland and dozens of Latin American countries.

The cost of the international expansion is threatening to saddle Netflix with its first annual loss in a decade.

Netflix shares gained $1.29, or 2 percent, to close Tuesday at $66.05.