Chinese, US streaming firms' battle shifts to SE Asia

Streaming giant Netflix reported its first subscriber loss since 2011, with media reports saying the US subscription streaming and production company lost close to 1 million subscribers in the first half of this year. Although the number was far lower than what the company itself had forecast－about 2 million subscribers－the loss was followed by hundreds of job cuts and a sharp decline in its share price.

The loss of such a large number of subscribers seems puzzling, given that Netflix produced many a hit drama series including the Squid Game－the most globally watched series in its history－in 2021 and people spent longer hours online as they were confined at home due to the COVID-19 pandemic.

It appears some factors have taken the wind out of Netflix's sails, similar to its Chinese streaming counterparts which fired a large number of employees at the end of last year and faced heavy criticisms for hiking the subscription rates. Yet the growth of broadband network users in the United States and Canada had stalled even before the pandemic broke out. Also, Netflix has been facing fierce competition from rival platforms such as Disney Plus, Amazon Prime Video and Apple TV in recent years.