Netflix stock has been under pressure lately on the New York Stock Exchange. As a reminder, already in vogue among consumers, the company boomed strongly at the start of the Covid-19 pandemic when hundreds of millions of people subscribed to the service to join the streaming service while confined to their homes. Today, with a return to “normal†life, Netflix is facing a reduction in demand in addition to growing competition, Disney+ in the lead, which has also benefited from the health crisis.
Netflix in a billion homes?
Yet Netflix CFO Spencer Neumann at an investor conference on March 8 showed great optimism for the OTT pioneer. As investors and shareholders doubt Netflix's development in the face of ever-increasing competition combined with slowing growth, he showed his confidence in the company's future by announcing a target of 500 million subscribers. eventually. Spencer Neumann said: “By the time we get to this level of penetration globally, there will likely be 1 billion connected TVs globally. Looking at our penetration in the US, about 60% of households today and you do a simple math, that pretty quickly gets us to over 0.5 billion membersâ€.
Netflix, potential for +100% growth?
In other words, the chief financial officer estimates that if Netflix experiences in the rest of the world performances equivalent to its success in the United States and Canada, the SVOD platform could reach 500 million subscribers. To put this figure into perspective, it should be remembered that Netflix had 222 million subscribers as of December 31, 2021. Achieving 500 million subscribers would mean more than doubling the size of its subscriber base, a real feat.
