Netflix increases paying subscribers by 9.6m

Streaming platform Netflix has added 9.6m paying subscribers, mostly out of the UK and US, in the first quarter of 2019 which brings its total subscribers to 148.9m.

However, Netflix warned that price hikes in the US, Mexico, Brazil and sections of Europe would cause a slow down in growth between April and June. It said it would be raising prices for US subscribers by $1-$2 a month depending on their membership plan.

It’s likely that this figure dwarves rival Amazon Prime, which reportedly has 26m viewers in the US.

Earlier this month, Disney announced it would be launching a streaming service called Disney + which would start at $6.99 a month, which would feature content from Disney’s own animated films as well as its Marvel and Star Wars franchises.

“The response in the US so far is as we expected and is tracking similarly to what we saw in Canada following our Q4’18 increase, where our gross additions are unaffected, and we see some modest short-term churn effect as members consent to the price change,” the company said.

eMarketer Forecasting Analyst Eric Haggstrom commented,  “While Netflix Q1 domestic subscriber growth came in strong, price increases and market saturation will cause US subscriber growth to slow moving forward. New revenues from increased prices will be reinvested in original content. This will solidify its status as a must have for consumers when compared to recently announced services from Apple, Disney, and others.”

Watch the below video of Netflixs CEO speaking about subscriber growth in India