Netflix Just Made History for the Completely Wrong Reason
(RepublicanDaily.org) – It’s been a difficult year for publicly-traded companies almost across the board, but none more so than Netflix. The streaming platform’s stock has shed well over half its value since 2022 began amid increased market competition and dropping subscriber numbers. The most recent reports indicate things are only getting worse for the company.
On Tuesday, July 19, Netflix released its second quarterly report of 2022. Worryingly for shareholders, the report revealed the streamer lost just under one million subscribers over the course of the reporting period. Surprisingly, this wasn’t even bad news. Executives had previously expected two million customers to leave. Still, this is the biggest loss of paying users in the platform’s history.
The company has blamed this unfavorable state of affairs on increased competition in the marketplace. The outlook for the future is slightly more positive, with projections of one million new subscribers in the third quarter of this year.
Netflix had forecast a 2 million subscriber loss in the second quarter but lost only 970,000. That’s good news for all subscription businesses. https://t.co/b2LB2w0Cnm
— billboard (@billboard) July 19, 2022
According to co-CEO Reed Hastings, the platform’s flagship shows deserve the credit for preserving Netflix from bigger subscriber losses. “Ozark” and “Stranger Things” were two productions he singled out for praise. However, Hastings was keen to keep this positivity in context, acknowledging the company had still lost a massive number of subscribers.
What do you think the future holds for Netflix?
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