Netflix closed the third quarter with 11.1 million subscribers, which is 28% higher than the previous year's 8.67 million, and 5% more than the second quarter. Of that 11.1 million, 98% were paid subscribers and 2% were free members. While most Netflix users still prefer to handle business via snail mail, the company's Internet streaming service is taking off.
Some 42% of Netflix subscribers streamed at least 15 minutes of one TV episode or movie during the third quarter, which is 22% more than last year. Given this rising interest, Netflix plans to launch an international streaming-only service in the second half of 2010 -- though, it won't be available to US customers (at least not from the get-go).