US 5,619,247 · Granted 1997-04-08

The 1997 Patent That Imagined Netflix Before the Internet

This patent describes a system where you could record TV shows and movies onto a storage device, then only pay when you actually watch them. Think of it like a video library that automatically fills itself based on what you like, and you get billed only when you press play.

Curated and verified by the IsItPatented Editorial team

The plain-English version

What it protects

The claim covers a stored program system where recordings are collected on a high-capacity storage medium at a subscriber's location, with billing triggered only upon playback or when a program is watched substantially in full. What's protected here is the specific combination of: automatic program selection based on viewer preferences (genre, cast, title), the ability to record programs before payment occurs, and the delayed billing mechanism tied to actual viewing rather than recording.

Why it matters

Filed in 1995 and granted in 1997, this patent represents an early conceptual blueprint for on-demand video services—a business model that didn't become commercially viable until broadband internet made streaming practical decades later. Smart VCR Limited Partnership was essentially describing the mechanics of modern video-on-demand and subscription services years before the technology infrastructure existed to deliver them at scale. The patent's focus on billing tied to actual consumption rather than access foreshadowed how Netflix and similar platforms would eventually operate.

Real-world use

Every time you open Netflix, scan a list of shows you might want to watch later, and only pay your monthly fee when you actually hit play on something, you're using the business logic this patent locked down.

Original USPTO abstract

A stored program pay-per-play system includes a high-capacity storage medium facilitating compilation of video, audio or other programs at a subscriber's site. While the recording of such programs may take place at any time preceding playback, billing occurs only when, and if, the subscriber chooses to select a program for replay or actually enjoys the program substantially in its entirety. Billing is alternatively based on a store-credit or account debiting scheme. The recording of program materials may be directed automatically by subscriber-operated storage management facilities which scan program schedules and select materials to be recorded, based on title, cast, program genre or any other of a variety of viewer/listener preferences. Alternatively, the program provider may automatically download programs, either based upon actual or surmised viewer preferences, or at the provider's discretion, for example, using newly-available selections. Display generation circuitry is preferably implemented, enabling the viewer to review selections to be downloaded, those selections available for immediate replay, remaining account balance, and other features, including "parental lockout" and so forth.

Patent details

Publication number: US 5,619,247
Filing date: 1995-02-24
Grant date: 1997-04-08
Assignee: Smart Vcr Limited Partnership
Inventor(s): RUSSO; JAMES
CPC class: H04N21/44204

View original record on Google Patents →

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