Netflix announced it added a record 18.9 million subscribers for the holiday quarter. With this increase in subscribers, Netflix’s global subscriber base is now more than 300 million. Including extra member accounts, Netflix said that its global audience is higher than 700 million.
One of the biggest reasons for the company’s growth was its expansion into live sports. The boxing match between Jake Paul and Mike Tyson, along with the launch of popular National Football League (NFL) games on Christmas Day, one of which featured a half-time performance by Beyonce, drove a lot of interest. The boxing match between Paul and Tyson on November 15 became one of the most streamed sporting events ever.
With the increased revenue and subscriber base, Netflix will likely bid for more significant sports rights. The company now has the broadcast rights for the 2027 and 2031 FIFA Women’s World Cup editions.
However, Netflix has been seeing subscriber growth in countries with lower average revenue per user (ARPU), and many of these subscribers have signed up for the lower-priced ad-supported tier. This is one of the reasons why Netflix likely decided to increase prices. The prices are increasing between $1 and $2 per month.
Later this year, Netflix will release the new seasons of popular shows like Stranger Things and Wednesday. Plus, Netflix started streaming WWE Raw.
Netflix’s revenue for the fourth quarter increased 16% year-over-year to $10.25 billion. And for the whole year, Netflix increased its revenue expectations to somewhere between $43.5 billion and $44.5 billion.
