In the midst of the battle between platforms, Netflix lost a million subscribers

the streaming platform Netflix announced on Tuesday the loss of some 970,000 subscribers, a number significantly less than the two million expected from the company.

It is the second consecutive quarter of losses for the company, which now has 220.67 million subscribers worldwide, amid the war against fierce competition and stagnant demand.

All in all, the numbers announced on Tuesday seem to show that the platform has avoided the projected worst-case scenario, with the company even forecasting that it would increase its customers again during the third quarter.

Thus, Netflix shares, which have fallen about 67% this year due to concerns about future growth, they jumped as much as 8% in after-hours trading following the results.

The world’s largest streaming service also said that plans to launch a cheaper ad-supported option next yearand warned that the strength of the dollar in relation to other currencies was also affecting Reserved revenue from overseas subscribers.

On April, Netflix had said it expected to lose 2 million customers in the current quarterwhich shocked Wall Street and raised questions about its long-term prospects.

After years of strong growth, Netflix found its landscape complicated when rivals like Walt Disney Co, Warner Bros Discovery and Apple Inc invested heavily in their own streaming services.

Thus, at the beginning of 2022 the platform lost, for first time in over a decade, 200,000 customers worldwide.

The company, which has laid off hundreds of employees in recent months and recently signed a contract with Microsoft to introduce advertising on its service, it assured in a letter to its investors that it has “adjusted its cost structure” to suit its “current growth rate”.

Besides, the Californian firm published a turnover of 7,970 million dollars between April and June, lower than expected. He attributed the figure lower than expected due to the effect of the exchange rate.

However the company had 1,440 million dollars of net income, above forecast.

With information from AFP, Reuters, EFE

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