Verizon threatens to sue Netflix over bad video-streaming claim

Attention,connoisseurs of high-profile corporate legal fights: 

This one could get interesting.

Manhattan-based Verizon Communications Inc. threatened to sue Netflix over the latter's error message that blames Verizon for bad video quality.

Earlier this week, Quartz reported that a Netflix viewer saw a message that says: "The Verizon network is crowded right now.

Adjusting video for smoother playback."




That got Verizon fired up, and its top lawyer wrote up a strongl y worded cease-and-desist letter.

"There is no basis for Netflix to assert that issues with r espect to playback of any particular video session are solely attributable to the Verizon network," wrote Randal Milch, executive vice president and general counsel for Verizon.

"As Netflix knows, there are many different factors that can affect traffic on the Internet, including choices by Netflix in how to connect with its customers and deliver content to them, interconnection between multiple networks, and consumer in-home issues such as in-home wiring, WiFi, and device settings and capabilities," Milch added.

Indeed, Milch argues, Netflix is to blame for using a "panoply of content distribution and other middle-man networks," and has deliberately chosen a "cost/quality tradeoff." Milch said Netflix's public position is "self serving, deceptive, inaccurate and an unfair business practice."

You'll recall, it was only a few weeks ago that the companies struck a deal in which Netflix will pay Verizon for faster, dedicated bandwidth to stream videos.

Verizon demands the following within five days: Netflix stops the error messages; provides all documentation behind its claim to Verizon; a list of all Netflix customers who received the messages, when they received them and individual documentation.

If that doesn't happen, they'll sue.

Netlfix spokesman Joris Evers Tweeted in response: "This is about people not getting what they paid for from their ISP. NFLX is transparent, VZ is shutting that down."
The five days is up Tuesday. Stay tuned.