Netflix shares crater 25% after company reports it lost subscribers for the first time in more than 10 years
Will do go to ad-based service?!
Shares of Netflix cratered more than 25% on Tuesday after the company reported a loss of 200,000 subscribers during the first quarter. The service is now proposing introducing adverts and stopping password sharing to stem the exodus..
MORE.. The drop also stemmed in part from its decision to withdraw from Russia to protest the war against Ukraine, resulting in a loss of 700,000 subscribers. The company has now started testing different ways of curbing password sharing in Chile, Costa Rica and Peru – and could extend this elsewhere if it proves successful. They are also considering turning the service into a low-fee subscription supported by ads.
Netflix attempting to move fast on how to change its operation.. Netflix offered a gloomy prediction for the spring quarter, forecasting it would lose 2 million subscribers, despite the return of such hotly anticipated series as “Stranger Things” and “Ozark” and the debut of the film “The Grey Man,” starring Chris Evans and Ryan Gosling. Wall Street targeted 227 million for the second quarter, according to Refinitiv data..