New Netflix data shows revenue per subscriber, tough decision on ads - Business Insider

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New Netflix data reveals how much money it makes per subscriber, and shows why it faces a tough decision about advertising

With most of Netflix's future growth expected to come from outside of the US and Canada, the company may need to figure out how to make more off the members in those regions — or offset the lower revenue those users bring in with more subscribers in the US and Canada— to keep spending $15 billion per year on content.

"Since NFLX's balance sheet cannot withstand larger cash losses , we think that a new $5 to $7/month pricing tier, subsidized with ads, is the best answer for Netflix," Needham analysts wrote, in a December 10 note. from advertising in 2021, if it were to introduce an ad-supported tier akin to Spotify's free offering by 2020.

 

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I'm seeing less and less shows i like on Netflix. Too many cancelations or other issues like their Marvel relationship. Maybe 3 shows max that I'll watch. Most movies are poorly made and it shows. Used to be worth it; not so much these days. Pretty much same on others.

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