From their July 20 press release:
"Netflix (Nasdaq: NFLX - News), the World's largest online DVD rental service, today announced that it has opened 10 regional distribution centers throughout the U.S. to provide faster service to its more than 600,000 subscribers. The new facilities, which supplement the company's main distribution facility in San Jose, CA, are located in the Atlanta, Boston, Denver, Detroit, Houston, Los Angeles, Minneapolis, New York, Seattle and Washington, DC, metropolitan areas."
They found that people near their San Jose center were happier with their service and more likely to recommend it. (surprise!)
I've been a Netflix subscriber since they started, and am hoping the IPO stops their downhill slide. I really miss their "I Shipped It" button -- it was lame of them to get rid of it. Like others have noticed, they don't seem to have a lot of copies of new releases. I've had movies sit in "Long Wait" for several months. Turnaround times here have been excellent. Selection is great on older movies, and not so good on new releases.
But it's still far cheaper than the megabucks I used to pay in "I'll watch it tomorrow" late fees.
Also, they do have a cheaper "2 DVD" reduced subscription that they don't advertise, if you're not a movie fiend.