Netflix recently released its Q4 results, which detailed a big win for the company in terms of overall subscriber growth. The streaming service reported that it added 8.76 million new accounts to its global paid net subscribers list – a much higher number than both its own predictions as well as Bloomberg’s.
This overall metric is overwhelmingly impressive, however, when the number is broken down by region it becomes apparent that Netflix is experiencing showed growth in the U.S. Of the 8.76 million new paid subscribers, 8.33 million came from countries outside of the U.S., while the U.S. only accounted for 420,000 new subscribers. According to Business Insider, this marks the third quarter in a row that Netflix has missed its U.S. target for subscriber growth, which was 600,000 paid net subscribers this time around.
Netflix’s decline in paid subscriber growth in the U.S. is likely due, in part, to the numerous competitors who have recently entered the TV and film content streaming space. Disney+ in particular appears to be stiff competition, as the new platform launched during the fourth quarter to much success. Shortly after Disney+’s launch, a report by Cowen & Co. detailed that Netflix had already lost one million subscribers to the new platform.
Despite growing competition, Netflix boasted $5.47 billion USD in revenue, which exceeded analyst expectations.