Netflix blames content slate for rare subscriber growth miss

Netflix blames content slate for rare subscriber growth miss

Netflix discussed financials with investors today and plans of a new and cheaper mobile-only streaming option were announced, headed first to India.

For what its worth, the company seems to have recognised that, and in a new letter to investors obtained by The Verge, the company has said that it will be launching a new mobile-only plan that will allow users to get much more affordable access to the company's library of TV shows and movies.

"Netflix has a history of beating big and missing big", said BTIG Managing Director Richard Greenfield.

"I think our position is excellent", Netflix chief executive Reed Hastings said in an earnings presentation.

"The reality is the long-term trend is linear television is shifting to internet television". It was "the most watched Netflix original series we've ever analyzed", according to the viewership data company. But a stronger lineup of new shows in the current quarter could help attract former subscribers, he said. If the quality of their shows does start to drop though, don't be surprised if we see people move between subscription services more regularly than we've seen in the past as price point and value for money start to factor in more than loyalty. In the most recent quarter, Netflix earned almost $271 million, a 30% drop from the same time past year.

Netflix now offers three monthly plans in India, priced between ₹500 rupees and ₹800.

Netflix said its revenue grew 26 percent in this quarter on a year-on-year basis to reach 4.92 billion USA dollars, compared to the figure of 3.9 billion dollars in the corresponding period of 2018. "Much of our domestic, and eventually global, Disney catalog, as well as Friends, The Office, and some other licensed content will wind down over the coming years, freeing up budget for more original content".

However, the drop in USA subscribers and lackluster global growth was largely due to more boring reasons, according to Netflix CEO Reed Hastings.

By contrast, the Basic plan price in the $8.99 per month.

Read the July 18 Variety cover story for more on how "Orange Is the New Black" marks the end of the first era of Netflix originals, as a new era of competitive streaming wars emerges.

"In Q1, they said we're raising prices but don't expect it to have any impact".

A "Stranger Things 3" video game tailored for PlayStation, Switch, and Xbox consoles as well as personal computers was released on July 4 as a download priced at $19.99. By blaming its own content slate for last quarter's weak showing, Netflix is saying that it's not all that different from HBO, which is dependent on a select few hit programs and goes through lulls when there aren't new episodes.

It also took the opportunity to announce its recent partnership with AT&T in the USA for Netflix integration in the ISP's new set-top box and a lower-price mobile-screen plan for users in India, in addition to existing plans, as it looks to expand viewers in emerging markets.

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