Netflix now has 158 million subscribers, wins streaming wars (for now)
18 Octobre, 2019, 07:57 | Auteur: Auguste Feret
Global paid subscriber additions came in at 6.26 million in the quarter, well below the 6.05 million figure that analysts were expecting.
If Netflix is anxious about the armada of new streaming competitors coming its way, its executives didn't show it on Wednesday when the company reported its third-quarter earnings.
The big picture: Netflix in the third quarter added 6.77 million new subscribers, pushing its total number of paid memberships to 158.33 million. However, the company is also acknowledging that the launch of rival services like Apple TV+, Disney+ and HBO Max could make its near future a little bumpy. "In Q3, Season 3 of La Casa de Papel (aka Money Heist) became the most watched show on Netflix across our non-English language territories with 44m households watching the new season in the first four weeks of release", Netflix said in its letter to shareholders.
"While the new competitors have some great titles (especially catalog titles), none have the variety, diversity and quality of new original programming that we are producing around the world". He said: "Over the next 10 years, many streaming services will grow viewing as streaming replaces linear TV". "So just like in the letter we put about the multiple cable networks over the last 30 years not really competing with each other fundamentally but competing with broadcast, I think it's the same kind of dynamic here". The recent price hikes didn't help Netflix keep as many subscribers as it expected. We're all relatively small to linear TV.
However, Hastings is ultimately convinced that on-demand streaming is the way forward. As a result, they'll stop paying for linear TV and have more to spend on streaming services.
Netflix has already seen this trend in the past, noting that it has experienced the same growth in the USA, where it's always been competing with Hulu, as it has in Canada, where Hulu is not available. Apple seems to be one of the few companies to understand this, which could actually be one of the ways in which Steve Jobs famously once declared that he had "finally cracked" the future of television.
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