In an article for BBC, streaming giant Netflix recently announced to shareholders that the company saw a massive boost in subscriptions as a result of the COVID-19 lockdown currently affecting nearly every stretch of the globe. The company stated that they brought in sixteen million new subscriptions in the first three months of 2020, an impressive number by all estimates. Last year during the same period the streaming service saw roughly half of the number of new subscriptions they are seeing now. Not only that, but the company has seen their stock price gain thirty percent in value in this year alone. Obviously with people stuck inside constantly the demand for in home entertainment has gone up considerably as a result. Netflix also has the benefit of a strong list of content and trendy shows like Tiger King which have surely helped to bolster intertest in the platform. Interestingly, the article stated that the highest growth for the company in this quarter was seen in Europe, the Middle East, and Africa.
This article was interesting in that it highlighted an example of a company that is flourishing as a result of the pandemic currently uplifting nearly every aspect of normalcy around the globe. However, the article did point out that with production on hold for nearly every studio, it remains to be seen if the delay in new content will have a negative effect on the streaming services momentum once the lockdowns are eventually lifted. It will also be interesting to see how the other major players in the streaming wars fare as a result of the pandemic.
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