Shares of Netflix down more than 35%
The scary year 2022 for Netflix is now devastating, with Netflix's shares falling more than 35% due to a lack of users.
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| Shares of Netflix down more than 35% |
For the first time in over a decade, the stock market has seen a drop in streaming company subscribers.
According to Netflix, they lost 2 million subscribers in the first three months of this year, while the company is expected to lose another 200,000 subscribers in the next three months.
Netflix had expected to add 2.5 million subscribers in the first quarter of this year.
The company attributes the decline to its customers to a number of factors, including stiff competition and extensive password sharing.
In its letter to investors, Netflix also pointed to "macro factors" that are currently affecting many companies, such as slowing economic growth, rising inflation, and geopolitical developments such as Russia's attack on Ukraine. Attack and Corona are also included.
The Corona Lockdown saw a record increase in streaming company's subscribers, but now the company has lost 50 50 billion due to the sharp fall in shares.
The company recently increased subscription prices, despite a slowdown in consumer growth, with the basic monthly package now requiring US consumers to pay 15.
As a result of this loss, Netflix is considering cracking down on password sharing and introducing low-cost ad-supported subscription levels.
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