Netflix is losing subscribers due to war against Account Sharing
Netflix is a pioneer or at least one of the stronger pioneers in the range of video streaming services. After Netflix, many giants of streaming started emerging such as HBO Max, Disney+, Amazon Prime, and others. As the competition increases, it’s natural to see Netflix losing appeal, but despite that, the company never had significant losses… until now.
According to a recent report, the big N lost subscribers for the first time in more than a decade in the first quarter of 2022. The company shared the fact during today’s earning results. Netflix is down more than 200,000 subscribers and the losses are set to continue.
It’s not hard to imagine dozens of reasons for this. The company saw a peak in users amidst the pandemic when people were forced to stay at home. However, in the last year, it has increased its prices across the world and there is global inflation floating amidst the war. It’s natural for some people to prioritize essential goodies, and some may also pick other streaming services.
Netflix is no longer the only giant in this segment, and the other services have great quality and sometimes more benefits for more affordable prices. Honestly, it’s still shocking to see Netflix locking 4K to the highest option in its prices. The company, however, believes that the big culprit is “account sharing”.
Netflix Lost About 700K Subscribers From Russia
Netflix was expecting more than 2.5 million subscribers in Q1 2022. However, it’s far from this target. The suspension of the business in Russia made it lose around 700,000 subscribers. Without this loss, the company would have more than 500,000 paid global users and that is still way below the company’s expectations.