Another sad day for Netflix customers that own a Playstation 3 or the Wii. On the latest Xbox update page, there’s an exclusivity agreement posted between Netflix and Microsoft for the Xbox to be the only game console to allow Netflix video streaming. Here’s what the update page says:

Netflix Partnership

This exclusive partnership offers you the ability to instantly stream movies and TV episodes from Netflix to the television via Xbox 360. Xbox 360 will be the only game console to offer this movie-watching experience, available to Xbox LIVE Gold members who are also Netflix unlimited plan subscribers**, at no additional cost.

From the Netflix Web site, simply add movies and TV episodes to your instant Queue, which will appear automatically on the TV screen via Xbox 360. Once selected, movies will begin playing in as little as 30 seconds. In addition to instantly streaming Netflix movies to the TV, Xbox LIVE Gold members can browse and rate movies, fast-forward, pause and rewind, all using either their Xbox 360 Controller or Universal remote.

This is a huge blow for people like myself, looking forward to Netflix streaming on the PS3 game console. I don’t know how this helps Netflix. They’re limiting themselves in their audience by only offering video streaming to Xbox customers. They may know something we don’t know but this is a huge blow for Sony, another deal they couldn’t reel in.

(Via Xbox)