Woke Netflix Loses Nearly 1 Million Subscribers in Historic Loss

Wall Street Journal:

Netflix Inc. suffered two consecutive quarters of subscriber losses for the first time in its history, and said some key steps it is taking to boost revenue and subscriber growth wouldn’t happen until next year. The company lost 970,000 paid subscribers in the June quarter, fewer than the 2 million it had expected to lose. Netflix estimated it would add 1 million net new subscribers in the current quarter. Netflix shares were up 7.4% in after-hours trading. The stock has had a rough 2022, losing about two-thirds of its value since the start of the year. The company is contending with growing competition from rival streaming services, a saturated U.S. market and rising inflation that observers say could crimp spending on entertainment. To boost subscriptions and revenue growth, Netflix is working on launching a lower-price, ad-supported option for consumers, and it plans to crack down on password-sharing by charging households to share accounts (Wall Street Journal).

NBC:

The streaming space is highly competitive, and is likely to remain so as HBO Max, one of Netflix’s close rivals, is set to partner with Discovery+ to add its content library at $14.99 a month with no ads. Meanwhile, Disney has kept its Disney+, Hulu and ESPN+ bundle at $13.99 a month. In the shadow of Netflix’s historic loss of subscribers last quarter, HBO and the cable channel’s HBO Max streaming service added 3 million new users (NBC).

AUTHOR

Pamela Geller

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