Netflix Resorts To Worst Solution Possible In Response To Dismal Quarterly Report
(AmericanProsperity.com) – Netflix has been bleeding subscribers, which many attribute to the company’s own bad decisions. Without subscriptions, the streaming giant is losing a lot of revenue. As a result they are looking for new ways to produce profits. Enter Netflix’s plan to introduce commercials, which the company is apparently implementing sooner than many users expected.
— Daily Wire (@realDailyWire) May 11, 2022
A report from CNBC shows a letter Netflix sent to its shareholders indicates it blames its drop in profits on account sharing. The streaming giant claims its revenue growth has plateaued, leading it to crack down on password sharing, possibly even implementing a fee for users who continue to share their accounts. Subscribers weren’t happy, prompting hundreds of thousands to drop their accounts and creating a massive hit to Netflix’s revenue.
A recent New York Times (NYT) article details that Netflix is planning on having a lower-tier subscription that includes commercials, much like HBO’s streaming service. The report mentions Netflix executives want to have the ad-supported service in place by the end of the year, between October and December. The streamer also mentioned plans to charge people giving their account info more to continue sharing their passwords. Netflix cited Hulu and HBO Max as being successful while offering ad-supported subscriptions. Of course, Netflix will still have a higher-priced subscription for customers to continue enjoying commercial-free streaming.
~Here’s to Your Prosperity!
Copyright 2022, AmericanProsperity.com