But forget the anecdotal take on the situation. Here's real data from Netflix CEO Reed Hastings from the Wall Street Journal:
WSJ: How important is renting HD-DVD and Blu-ray movies, the two new high-definition disc formats, for Netflix?via Hacking NetFlix.
Hastings: Tragically small. We have all the titles on HD-DVD and Blu-ray. They're running neck-and-neck, but the total volume is less than 1% of our volume. Consumers want high-def, but the perception of a format war is freezing consumers out. Until that perception stops, very few consumers will try the new high-def discs.