- Netflix gained nearly 6 million new subscribers
- during the last quarter
- Mostly because more than a hundred countries have already restricted password sharing
- And also the cheapest package full of ads
If we talk about criticism of streaming services, Netflix is usually at the forefront of negative opinions, as no company swings the machete better than it, but its “progressive” stance blows the fuse for many. The managers also added a lot of fuel to the fire when they announced the end of the free sharing of passwords, so that the circle of friends could only use the specified account if the wallet was opened. The restriction – along with more than a hundred other countries – was introduced in Hungary already in May, just as the ad-enriched package (Netflix Basic with Ads) had been available for some time, and although “forecasts” predicted that these fundamental changes would only have an effect later on, the fruits definitely came in the second quarter, and quite comprehensively.
Netflix’s financial report revealed that by June 30, the service had 5.89 million new subscribers, the entire base It has 238.39 million members. The increase was particularly surprising because analysts expected only 1.769 million new subscribers sequentially, while revenue increased in all regions where restrictions were already in place, and subscriptions outnumbered cancellations. In terms of revenue, the company reported $8.2 billion (let’s say this indicator didn’t develop quite as well as expected, analysts predicted $8.6 billion), and it expects this process to accelerate further in the next quarter, as new password sharing conditions will be introduced in the remaining countries. Compared to the same period last year, Netflix is doing very well, losing 1 million subscribers at that time, but according to the signs, we don’t have to worry about a decrease in the number of users in the (near) future.
