Netflix Canada now has over 800,000 subscribers, but its customers still face data caps and overage fees imposed by local internet providers looking to thwart the US video streaming giant’s path into the Canadian market.

‘Canadian consumers have been outspoken against the excessive charges they face, and hopefully Canadian ISPs will listen to them by raising the caps or abandoning them altogether,’ Netflix CEO Reed Hastings said Monday in a letter to shareholders as he released his company’s latest financial results.

Netflix last month introduced a new setting for subscribers that allows them to set a lower video quality in order to reduce bandwith usage in a bid to help its customers avoid overage fees.

Netflix Canada is looking to get to one million subscribers by this summer, which would allow the over-the-top digital platform to break even, according to the Netflix parent.

The US online video subscription service faces other local hurdles, however, including an effort by Canadian broadcaters to have the CRTC regulate Netflix Canada because it is getting into the original drama series business.

From Playback Daily