Netflix reaches 269.6 billion paying users

But despite the positive results, Netflix faces challenges that could influence its second quarter. The company warned that they expect to have fewer paid users for the second quarter. This is due to the growing competition in the streaming market, with the entry of new players and the consolidation of existing platforms.

Additionally, the company expressed concern about typical seasonality affecting attracting new paid subscribers in the second quarter. This trend, combined with increasing market saturation and diversification of entertainment options, suggests that Netflix may not have as many new paid accounts.

In anticipation of this, the streaming platform mentioned that they are developing new revenue streams such as advertising and an additional member feature, so that memberships are just one component of their growth.

In turn, another area of ​​focus for the company will be user retention and, to this end, they will begin to provide more information on their weekly 'top 10' lists and their semi-annual report on viewing on Netflix. According to the company, “this is more information than any of our competitors provide, and we expect to provide even more over time.”