Netflix which is already a market leader for movie streaming in the USA is now available in Latin America. I believe it will NOT be successful in the developing world for 2 main reasons.
1. Price - e.g. Argentina (unlimited streaming) - arg$39 pesos = approx u$d10 per month is too expensive i.e. where the average household income is a fraction (approx 1/5th) of the USA equivalent.
2. Competition - Cuevana.tv (unlimited streaming) has a better selection and is FREE! (albeit not quite legit)
Both services offer streaming movies and TV programs. Netflix has some more bells and whistles and can be added to some of your existing home entertainment systems (WII, XBOX etc). Interestingly Cuevana has been available globally since 2009 and is the brainchild of 3 twenty-something year old Argentinians.
Which service do you use and how much do you pay to watch movies at home?
UPDATE: CNN interview with Cuevana founder Tomas Escobar