Netflix hit by shipping problem

Thousands of Netflix customers, including many across Washington and Idaho, were unable to receive mailed DVDs this week as the San Francisco-based company struggled with a major technology problem affecting its mailing and processing system.

Company spokesman Steve Swasey said the technical problem, which he did not identify, is affecting most of its 55 processing and distribution centers, including the Netflix center at the Spokane Airport Industrial Park.

The problem prevented the entertainment company from sending DVDs to customers. Netflix subscribers create a list of movies they wish to see. After seeing a movie, the viewer returns it by mail, and Netflix will then send the next film on the list.

The disruption is the most significant technical problem Netflix has had since launching its service nine years ago.

Disks mailed back are being processed normally, said Swasey. The company was able to send out some discs on Wednesday but shipped none on Tuesday and hadn’t shipped any Thursday morning either, Swasey said.

Affected customers were promised a credit to their accounts for the delay.

The glitches didn’t affect Netflix’s Web site or its service for streaming movies and television shows instantly to customers’ computers.

Swasey said that was the first time Netflix was unable to deliver DVDs for an entire day.

“When we miss on that it’s a big deal,” Swasey said.

The company hasn’t specified the problems that triggered the latest outage, nor has it identified the root cause.