At peak hours, Netflix makes up a whopping 37% of all internet traffic in North America, which is a huge congestion problem. Now it appears that it may have found an answer.
Netflix has been quietly testing a new way to deliver all the streaming content on its servers, without sacrificing video-quality for movies. Each episode of “The Office” was encoded at several different qualities which could shift according to variations in a customer’s connection. That way it can max out on the actual quality the viewer sees without causing artifacts or pixelization. Years ago, when they adopted this algorithm, Netflix developed what’s called a bitrate ladder. Some of those gains come from changing that up and compressing things like cartoons down further and more efficiently, while making sure that things like action movies still get all the love they deserve.
Without seeing this plan in action, we can’t yet say whether the process truly makes for a better or worse viewing experience; maybe the difference is as indiscernible as Netflix claims. But that “one-size-fits-all” fixed bitrate ladder didn’t account for scenes with high camera noise film grain noise, meaning that even a 5800 kbps stream would still “exhibit blockiness in the noisy areas”.
Netflix is now busy re-encoding its entire library, which is a massive undertaking. Also on some slow connections the video quality often dropped to 480p. Previously, the same watcher would have just been able to watch the show with a resolution of 720×480, and still used more data.
As a whole, the new model should give Netflix customers better-looking content while using 20% less bandwidth.