Wait, Netflix Just Added How Many More Users?
By Movieguide® Contributor
Netflix reminded the entertainment industry why it is the premiere streaming service with a Q3 report that boasted subscriber growth and impressive profits.
Netflix’s total subscribers topped 282 million this quarter after adding 5.1 million more users to its platform. More than half of the new subscribers came through the ad-supported tier giving the company confidence that it will pass a critical ad subscriber number next year, allowing it to better compete for advertisers.
In the near term, however, Netflix revealed that ads will not serve as a main revenue driver as the platform has been unable to monetize its advertisement inventory fast enough to keep up with the growth. Growing its ad business remains a key focus of the company as it seeks to maximize its potential in upcoming years.
READ MORE: NETFLIX’S AD TIER HITS 15 MILLION MONTHLY ACTIVE USERS
The Q3 report also emphasized that Netflix views itself as the premiere streaming service because it offers the best library of content.
“Programming for such a large, engaged audience, with so much variety and great quality, is hard,” Netflix said. “It’s why streaming services which lack our breadth of content are increasingly looking to bundle their offerings… Netflix is already an extraordinary package of series and films (licensed and original), and increasingly games and live events.”
Content wise, Netflix admitted that 2024 has been slightly lackluster to this point but it believes it has a strong lineup to finish the year. It also touted the fact that on average, subscribers use the platform for two hours every day.
“Our 2024 programming has been patchier than normal due to last year’s strikes. But our volume has picked up again and we’re excited for what’s ahead,” Netflix said, pointing to SQUID GAME season 2, the final season of ARCANE and an animated WITCHER movie.
Movieguide® previously reported:
Netflix’s stock soared as the streaming platform delivered impressive Q4 results that solidified its king status in the streaming wars.
“It is becoming increasingly clear that Netflix has won the ‘streaming wars,’” wrote Bank of America media analyst Jessica Reid Ehrlich.
“Netflix has already won the streaming wars and this type of strong result/guidance, especially relative to its streaming peers, is what winning looks like,” added Pivotal Research Group analyst Jeffrey Wlodarczak, echoing Ehrlich’s sentiment.
These assertions of Netflix’s dominance came after the company released its 2023 Q4 results, revealing 13.1 million new subscribers and $8.8 billion in revenue—up $100 million over forecasted results.
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