1 In 4 US Netflix Users Plan To Ditch Streaming Giant: Study

LOS GATOS, CA — One of Silicon Valley’s original disrupters could be in for a rude awakening of its own.

That’s according to the findings of a newly released study that portends possible trouble for the streaming giant.

Approximately 1 in 4 Netflix subscribers plan to ditch the streaming service by the end of this year, according to a Reviews.org study.

More than 1,000 American Netflix subscribers participated in the study.

Two thirds of the respondents attributed Netflix’s rising cost as the determining factor for cutting ties with the streaming service. Netflix has raised its prices 11 percent for its one-screen plan and 20 and 25 percent for its standard and premium plans.

The Los Gatos-based company has announced plans to launch an ad-supported lower-cost plan later this year to help it pare future losses.

Netflix has led Silicon Valley’s race to the bottom amid a wider market correction, losing more than two thirds of its value since hitting an all-time high last year at $700.99 per share. Netflix shares were valued at $224.36 at Tuesday’s closing bell. The streaming service was at one point over the summer the S&P 500’s worst 2022 performer, Forbes reported.

Netflix lost 1.2 million subscribers in the first two quarters of this year, the company announced earlier this year, the first such declines announced by the company in more than a decade, the study's authors said.