Atleast in India, it will not take off. Present internet facilities in India will not be able to serve this. At an avg HD streaming of a movie in netflix for 2hrs takes around 3GB bandwidth. In India, except Hyderabad, any major city the internrt charges are so high that no one adopts it. For ex: in Bangalore, for 2000rs, you get 20mbps connection capped at 50Gb and after that its 8mbps only. If I take BSNL, for 2000…
Also, the basic Netflix subscription is only for SD quality, which can easily take off (heck, people have been watching crappy quality videos on 2G for many years). As others have pointed out, Netflix does not need a lot of bandwidth. Of course, the quality will vary, but you definitely don't need a 40Mbps or 100Mbps connection.
Pricing, however, is a huge factor. Having people put in 500 or more a month for a limited set of content is going to be a challenge for Netflix.