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Posted: Thurs., Aug. 14, 2008, 3:22pm PT

Netflix hit by technical glitch

All 55 shipping centers affected by outage

Bad week for Netflix: The Netco has been hit by its worst technical outage ever.

The online rentailer has had trouble sending discs to subscribers several days this week at all 55 of its shipping centers. It resumed shipping Thursday afternoon at some of the centers and planned to have staffers work through the night to get all of them back up to speed.

Netflix said a third of its 8.4 million subscribers are waiting for discs. It plans to credit the accounts of those affected, with the actual amount determined by the length of disruption.

The snafu is a black eye for the company, which touts its service as a hassle-free alternative to traditional vidtail shops.

"It’s really unprecedented," a rep said, noting that the service had never been down for more than a day.

Netco wasn’t able to send out any discs on Tuesday and encountered the same problem Thursday after successfully shipping some discs Wednesday. The glitches didn’t affect Netflix’s website or its streaming service.

An earlier outage in March caused a one-day delay in shipping discs.


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