Netflix customers are threatening to leave after moves to stop people watching TV shows and films from its American site.
Tens of thousands of people in New Zealand use 'unblocking' services to access the streaming version that allows people to watch content only available to American subscribers.
Technology commentator Peter Griffin said the company appears to be under pressure from Hollywood and its u-turn could drive many customers away.
"It's so easy for consumers to do the wrong thing and to just do a simple Google search to find an illicit web-streaming website that has most of these TV shows anyway.
"So for a lot of people now it's going to be a marginal proposition just having the New Zealand library of content so I think they will lose customers."
However, Peter Griffin believed Netflix would struggle to block access to its American site.