It is no secret that the coronavirus has been very good for Netflix. Having people trapped in their homes all over the world has resulted in many new Netflix subscriptions. In fact, the streaming giant just beat their own expectations. It was announced that Netflix gained 15 million new subscribers this year. People around the world are desperate for entertainment while they are at home. Netflix seems to be the streaming service that most people prefer. They have a much wider range of content than their competitors. It will be interesting to find out how many new subscribers have been added by Disney+.
Netflix CEO Reed Hastings recently sent out a letter to shareholders of the company. He said that he was very happy about the subscriber growth. However, he told the shareholders to expect a decline in new subscribers and viewing numbers once people are no longer confined at home. Some countries like Germany have already opened up again. However, the United States is a long way from being able to end the national lockdown. This means that people will still be trapped at home for the foreseeable future. There is no telling how long that people will not be able to leave their homes in many parts of the United States.
Netflix is very well equipped to keep offering new shows and movies for the rest of this year. This is because they always have to film their shows very far in advance. They need to do this because they release entire seasons of shows on the same day. Netflix has many shows and movies they were either totally complete or were in the process of being wrapped up when the virus caused all productions to be shut down. Therefore, Reed Hastings said that new content will keep being released on Netflix for the rest of this year and into 2021.
Gaining 15 million subscribers was a shock to most people in the entertainment industry, reports The Hill. This surpassed even the most optimistic of predictions. News of the new subscriptions sent the Netflix stock price soaring. It is one of the very few companies that is doing much better now than it was before the spread of the pandemic. In fact, Disney+ was causing some problems for Netflix a few months ago. That is no longer the case. Netflix is clearly the number one streaming service in the world. They should stay on top for a long time.
Dil Bole Oberoi
