The largest streaming company Netflix suffered a major setback, losing a million subscribers in 2 months

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The largest streaming company Netflix suffered a major setback, losing a million subscribers in 2 months

Reflexes

Netflix lost almost a million subscribers.
Subscribers may increase in the September quarter
Netflix will bring the ad-supported option next year.

The discussion about Netflix has been going on for a long time, and now America’s largest streaming company has reported that its subscriber count dropped by 970,000 from April to June of this year. This is much less than the company’s estimate. The company has also said that in the third quarter it will increase the number of its subscribers. Netflix has said it plans to launch an ad-supported option next year. It has also said that the strengthening of the dollar is affecting the profits of its subscribers abroad.

American Streaming Service said in April that its subscriber base could drop by 2 million in the April-June quarter. This estimate surprised Wall Street. Then, questions began to arise about the company’s long-term growth prospects.

Analysts surveyed by Refinitiv say the number of Netflix subscribers in the second quarter hasn’t declined as much as expected.

Subscribers may increase in the September quarter
The company has said that in the quarter from July to September, the number of its subscribers may increase by one million. Most analysts believe that the number of new clients in the third quarter will be 18.4 lakh.

Michael Pachter, an analyst at Wedbush Securities, said: “Netflix shares have risen as its shares were downgraded after a slowdown in growth. The company is cutting expenses. The company is expected to make good profits next year.

‘Netflix’s growth was very rapid at first. But, with rival companies like Disney, Warner Bros., Discovery and Apple investing heavily in streaming services, Netflix’s growth has taken a hit. In addition to this, Netflix officials have also made it clear that the company will be strict about sharing username and password, which is why many people access content on the platform without paying.

Tags: netflix, Technology news

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