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
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.