Netflix promised a big comeback in the third quarter, predicting more than 1 million new customers. While the far-left streamer outperformed that measure by two-fold, sending its stock skyrocketing in after-hours trading Tuesday, a closer look at the numbers shows that the vast majority of new Netflix subscribers are coming from overseas, with U.S. customers failing to return in significant numbers after leaving the streamer in droves earlier this year.
The phenomenon is part of a larger trend casting a shadow over Hollywood’s streaming hopes. Major streamers are having trouble attracting and retaining domestic customers, which analysts have blamed on market saturation while ignoring the fact that millions of Americans have grown fed up with the left-wing moralizing studios are smuggling into their entertainment.
Netflix’s domestic subscriber tally rose by just 104,000 customers during the third quarter, representing 4 percent of the company’s 2.41 million new subscribers. The number is surprisingly weak considering Netflix boasted a number of hits this quarter, including the much-discussed Jeffrey Dahmer limited series and the fourth season of Stranger Things.
Earlier this year, Netflix lost close to 2 million domestic subscribers during the first and second quarters. In all, Netflix has bled an astonishing 1.8 million domestic customers so far this year. For 2021, the streamer gained 1.3 million.
The overwhelming majority of new Netflix customers are coming from overseas, especially Asia. Netflix signed up 1.4 million new customers in the region, with India and Korea remaining key markets. (Netflix is still forbidden from doing business in China under the CCP’s streaming laws.)
The same pattern is playing out with Netflix’s competitor Disney+. As Breitbart News reported, Disney+ has seen its domestic subscriber growth collapse in the wake of the company’s political war with Florida Gov. Ron DeSantis (R) and unconditional embrace of radical gender and LGBTQ politics.
Disney+ reported domestic growth of just 100,000 for the most recent quarter, a sharp slowdown from the previous quarter that saw the sequential addition of 1.5 million domestic subscribers.
Like Disney, Netflix has fully aligned itself with Democrats and their far-left political and social ideologies. The streamer still has a production deal with Barack and Michelle Obama, and its executives rank among Hollywood’s most generous Democrat donors, supporting the campaigns of Joe Biden, California Gov. Gavin Newsom, and radical Los Angeles District Attorney George Gascon.
Netflix is hoping Wall Street will start to focus less on subscriber growth as it prepares the launch of its lower-priced service with commercials. The ad-supported version is expected to launch in November, earlier than expected, and will cost $6.99 a month, which is less than Netflix’s current lowest priced tier of $9.99.
Advertising will add a much-needed revenue stream, but Netflix’s bet is coming at a challenging time. As Breitbart News reported, ad spending in the tech sector is cooling across the board as pervasive consumer pessimism in the face of the runaway inflation caused by President Biden has put a damper on spending.
Shares of Netflix are still down close to 60 percent so far this year.
Follow David Ng on Twitter @HeyItsDavidNg. Have a tip? Contact me at dng@breitbart.com
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