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Netflix adds 2.4 million subscribers, promises crackdown on password sharing

‘After a challenging first half, we believe we’re on a path to reaccelerate growth. The key is pleasing members,’ Netflix said in a letter to shareholders

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A Netflix logo is displayed on an iPhone in Philadelphia on July 17, 2017. Netflix announced every single movie coming out 2023.

A Netflix logo.

Matt Rourke, Associated Press

Netflix is back in business after losing subscribers for two quarters in a row.

On Tuesday, the streaming service released results that surpassed expectations for revenue operation income and membership base, the company said in a letter to shareholders.

Netflix added an additional 2.41 million net global subscribers, more than the set goal of 1.09 million subscribers, and $7.93 billion in revenue, nearly 93 million more than the goal set, according to CNBC.

“After a challenging first half, we believe we’re on a path to reaccelerate growth. The key is pleasing members,” Netflix said in the letter.

The company is also gearing up to launch its new ad-supported plan, which will cost $6.99. Meanwhile, Netflix’s efforts to crack down on password sharing will roll out in 2023, where the company will charge a small fee if the account is used outside the primary home.

According to PCMag, the approach has already been tested in a few Latin American countries.

Netflix’s most-watched shows and movies that proved to be successful in the third quarter include “Monster: The Jeffrey Dahmer Story,” “Stranger Things” Season 4, “Extraordinary Attorney Woo,” “The Gray Man” and “Purple Hearts.”

After the streaming giant announced Q3 results, shares rose more than 10%, according to The New York Times.

As for the next quarter, Netflix is expecting revenue to hit $7.8 billion, which translates to 9% year-over-year growth and includes earnings from ads while adding 4.5 million subscribers.