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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Andrew EisenIn other news, I just realized what a mistake it was to start my 30 Days of Netflix project on YouTube the same month Age of Ultron came out.05/06/2015 - 8:24pm
Goth_SkunkI know. :P05/06/2015 - 8:13pm
Andrew EisenGoth - Great. Just don't be a dick about it! (not aimed at you)05/06/2015 - 8:13pm
Matthew Wilson@goth do it in a reasonable manner thought. do not harass her.05/06/2015 - 8:13pm
Mattsworknamelots of gamers fall into that p roblem, as do some feminists and other grooups05/06/2015 - 8:11pm
Goth_SkunkI think when someone is as influential as Sarkeesian is, having and espousing that opinion is dangerous. It has to be challenged. She has to be told, 'No, you're wrong about this.' And her influence should suffer as a result.05/06/2015 - 8:11pm
Mattsworknamegg has its bad actors and most moderate ggs dislike or outright work against them. be careful not to let your own hate or bias make you act like those you accuse05/06/2015 - 8:10pm
Andrew EisenMatt - Hell, sometimes minorities (peoples, opinions, whatever) themselves are just so damn scary to a number of the majority that they get marginalized whether there were so called bad actors or not.05/06/2015 - 8:09pm
Mattsworknamemechacrash, my point was that groups get marked by the actions of minoritys among them. as andrew points out, this isn't just feminist or gg, it's universal due to the wide spread use of social media05/06/2015 - 8:07pm
 

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