In April, the news of Netflix losing 200,000 of its subscribers the previous quarter made waves across the globe. As a result, shares of the streaming giant plummeted, causing other streaming stocks to also dip. Following the massive drop in subscribers, Netflix also announced that it expects to lose around 2 million paying members in the coming months.
This news sparked concerns regarding the future of streaming in a post-pandemic world, where people are no longer confined to their homes and spend less time streaming content. Is streaming as we know it could be going away? And what does the future hold for Netflix and its streaming counterparts?
New ways for revenues
After a decade-long of subscriber growth, Netflix had seemingly reached a tipping point. Netflix and other video streaming services such as Disney+ and Peacock saw a surge in popularity as a result of COVID-19 lockdowns, a surge that is now reaching its limit.
This doesn’t mean streaming is going away — it just means that streaming companies will need to find other ways to increase revenues. One of these ways can be implementing ads into its service, Netflix said, and it also revealed that it was going to crack down on password sharing, a method popular among many users who share accounts.
As streaming services are trying to reinvent themselves, investors can explore streaming stocks to invest in.
Netflix
Despite its recent difficulties, Netflix is still one of the biggest players in the streaming game. Since its inception as a DVD rental company, Netflix is no stranger to the business of re-invention. After transitioning into the streaming business and revolutionizing it, we can expect Netflix to pave a way for itself in the ever-changing world of streaming.
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Disney
The entertainment conglomerate launched its streaming service, Disney+, in late 2019, and is currently focusing on adding subscribers. The Walt Disney Company is constantly adding new original content to Disney+, which joins the already-vast collection of Disney-owned film and television franchises.
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Apple
Apple is also a big streaming player, with its original shows winning multiple awards at last year’s Emmys. One of the biggest tech companies in the world, Apple offers its device users free subscriptions for limited time periods, which helped assert its dominance in the streaming field.
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Paramount
Paramount, and its streaming service Paramount+, are not usually mentioned alongside Netflix or Apple when it comes to streaming, but it has been garnering attention recently. This attention came after Warren Buffett’s Berkshire Hathaway invested in the company, causing other investors to consider it as a major player.
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Roku
Roku has grown to become the most popular TV platform in the United States, providing content through The Roku Channel. Roku also makes its own streaming hardware, including TVs and streaming devices like the Roku Streaming Stick, and Roku Streambar and Roku Express.
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