Netflix's Huge Subscriber Loss Is Only The Beginning
After the recent reveal that Netflix is losing lots of subscribers, its stock price dropped significantly, and it's likely just the beginning of worse to come. Earlier this week, Netflix reported a net loss of subscribers, something that has rarely happened in the history of the service. While Netflix does lose subscribers regularly due to churn, it usually gains enough new subscribers to lead to a total increase. In this case, that didn't happen, with the first quarter of 2022 seeing Netflix lose 200,000 subscribers.
Following that news, Netflix stock plummeted, losing 35% of its value and costing the company an enormous amount of money. Making things worse is that Netflix expects to lose two million more subscribers in the second quarter of the year. By contrast, Netflix added nearly four million new subscribers to its rolls in the first quarter of 2021, marking a sharp downturn in only one year's time. If this pattern holds, the service that essentially invented subscription streaming is in for some choppy waters ahead.
Related: Netflix's Cancellation Rule Is Now The Streaming Service's Biggest Problem
Netflix's near future is starting to look a bit bleak, and while it would take something truly catastrophic to cause the service to shut down, it could definitely end up falling out of its clear top spot in the industry. The question now becomes whether or not Netflix can right its ship, preferably sooner rather than later. The streaming service certainly could save things, at least theoretically, but it'll take a lot of effort as it's already dug a pretty deep hole.
When it comes to exactly why Netflix is losing subscribers, there are several reasons that make themselves apparent. The most obvious is that,
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