Published , by Ozzie Mejia
Published , by Ozzie Mejia
With Netflix having had as volatile a year as its had, the affect on the company's subscriber base in the long run will ultimately prove unpredictable. For today, at least, Netflix is reporting that it has ended Q2 2022 with 220 million paid subscribers, which is slightly lower than where the company was last quarter.
The Netflix subscriber numbers factor in paid memberships from across the four major regions in which the company currently operates: United States and Canada (UCAN); Europe, Middle East, and Africa (EMEA); Latin America (LATAM); and Asia-Pacific (APAC). According to the Netflix Letter to the Shareholders, the APAC region has grown substantially with a paid subscriber number that's now on par with Latin America.
The 220 million subscriber number is up by nearly 11 million year-over-year, but it does represent a decline from last quarter. Netflix is already resorting to aggressive measures to help stop the decline. The company announced earlier this week that it will begin charging a $2.99 penalty fee if a user's Netflix account is used outside their home. Extra home fees will begin rolling out on August 22 in Argentina, the Dominican Republic, El Salvador, Guatemala, and Honduras and may find their way to the United States and Canada soon enough.
Not all of Netflix's ideas to curb the subscriber slowdown are that bloody awful. The company is currently putting together a lower-priced ad-supported plan in conjunction with Microsoft. Tuesday's earnings report noted that this new plan is expected to launch in early 2023.
We'll have more to say about Netflix and its Q2 2022 earnings. Be sure to keep up with the Netflix topic page for more.