Page "Netflix" Paragraph 2

Netflix was founded in 1997 in Scotts Valley, California by Marc Randolph and Reed Hastings, who previously had worked together at Pure Software, along with Mitch Lowe.

Hastings was inspired to start the company after being charged late fees for returning a rented copy of Apollo 13 after the due date.

The Netflix website launched in April 1998 with an online version of a more traditional pay-per-rental model ( US $ 4 per rental plus US $ 2 in postage ; late fees applied ).

Netflix introduced the monthly subscription concept in September 1999, then dropped the single-rental model in early 2000.

Since that time the company has built its reputation on the business model of flat-fee unlimited rentals without due dates, late fees, shipping or handling fees, or per title rental fees.