Netflix Loses 800k Subscribers, Game Rentals Still Up in the Air

October 25, 2011 -

Netflix has had a rough couple of months.  Investors and customers alike have reacted negatively to the company’s recent price hikes and it’s Qwikster announcement was so unpopular that it canned the whole thing mere weeks later.

"The last few months...have been difficult for shareholders, employees, and most unfortunately, many members of Netflix," wrote Netflix CEO Reed Hastings in a letter to shareholders. "We've hurt our hard-earned reputation, and stalled our domestic growth."

Indeed, Netflix lost 800,000 subscribers in the U.S. last quarter and expects to lose more by the end of December.  The company had a total of 23.8 million subscribers as of Sept. 30th with around 21.5 million customers having streaming subscriptions and just under 14 million having DVD subscriptions (most customers have both).  Netflix expects those numbers to drop to around 20 – 21.5 million streaming customers and 11.3 million DVD subscribers.

Hastings also warned shareholders that it will be unprofitable in upcoming quarters due partially to the costs involved with its service expansion into the UK and Ireland.

But what about game rentals?  It’s still unclear whether Netflix’s plans to offer console games in addition to movies died with Qwikster.

"We have yet to decide whether or not to offer video game discs," CEO Reed Hastings told Gamasutra. "The decision will have little financial impact either way."

Sources: CNN and Gamasutra

-Reporting from San Diego, GamePolitics Contributing Editor Andrew Eisen
 


Comments

Re: Netflix Loses 800k Subscribers, Game Rentals Still Up in ...

Netflix has a choice do a rollback or stagnant and die its funny because this all goes back to Netflix trying to buy the rights to one of Kevin Spacey's new shows yet they didn't want to share with anyone else but yet they wanted to stream other studios content...

So movie studios wanted a raise and now Netflix wants to do more Kevin Spacey shoes and so they have the nerve to raise the price again and look what happened.

 
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SleakerAlthough.. I don't think it hurts anyone if kids think the report is true :P09/01/2014 - 3:26am
Sleakerand just for future reference. National Reports is a fake news site, they decided to remove their disclaimers a while back apparently...09/01/2014 - 3:25am
Thomas RiordanDon't feel bad. I posted the same thing last night and deleted it once I realized it wasn't real.08/31/2014 - 11:13pm
E. Zachary KnightAh. The report actually read serious to me. Oh well. At least it didn't happen.08/31/2014 - 7:46pm
ConsterAlthough apparently someone who was in a swatting ring in Texas took a plea for up to 5 years in July.08/31/2014 - 7:14pm
ConsterProbably because it's a satire site.08/31/2014 - 7:13pm
E. Zachary KnightI agree that the kid should be punished, but the charge and sentence seem a bit overboard to me. http://nationalreport.net/15-year-old-swatted-domestic-terrorism/08/31/2014 - 6:56pm
Andrew EisenI get a "page doesn't exist."08/31/2014 - 11:50am
MaskedPixelantehttps://twitter.com/Nevelets/status/506076879309508608 What we're currently supposed to be offended by, or whatever.08/31/2014 - 10:10am
MechaTama31AE: Probably snarky commentary on this: http://www.gamepolitics.com/2014/08/29/principle-player-leland-yee-arms-trading-case-dies08/30/2014 - 8:43pm
Andrew EisenConster - Don't know. Got a link to whatever you're referring to?08/30/2014 - 7:04pm
ConsterWait, what's this about Leland Yee eliminating witnesses?08/30/2014 - 5:50pm
IanCBroke my EA boycott to pick up Plants vs Zombies Garden Warfare. Loving it. Still hate EA though. But i like Popcap. Gah.08/30/2014 - 6:01am
MaskedPixelantehttp://m.tickld.com/x/something-you-never-realized-about-guardians-of-the-galaxy Right in the feels.08/29/2014 - 6:56pm
AvalongodAgain I think we're conflating the issue of whether Sarkeesian's claims are beyond critique (no they're not) and whether its ever appropriate to use sexist language, let alone physical threats on a woman to intimidate her (no it isn't)08/29/2014 - 5:04pm
prh99Trolling her or trying to assail her integrity just draws more attention (Streisand effect?). Which is really not what the trolls want, so the only way to win (if there is a win to be had) is not to play/troll.08/29/2014 - 5:02pm
prh99Who cares, just don't watch the damn videos if you don't like her. Personally, I don't care as far as she is concerned as long there are interesting games to be played.08/29/2014 - 4:34pm
Andrew EisenZip - And yet, you can't cite a single, solitary example. (And no one said you hated anyone. Along those lines, no one claimed Sarkeesian was perfect either.)08/29/2014 - 3:51pm
Andrew EisenSaint's Row: Gat Out of Hell was just announced for PC, PS3, PS4, Xbox 360 and Xbox One making it the 150th game For Everything But Wii U! Congratulations Deep Silver!08/29/2014 - 3:49pm
ZippyDSMleeI do not hate them jsut think its mostly hyperlobe.08/29/2014 - 3:40pm
 

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