Netflix Will Be A Losing Proposition In 2012
Netflix has certainly been under attack lately. And now amidst falling stock prices and user defections, Netflix now claims they will lose money all of 2012.
Netflix boasts around 24 million customers for both it’s DVD-by-mail service and it’s streaming offerings.
But the company has been under siege of late. Studios are demanding more for their content. Starz has decided not to renew their contract and direct rivals like Hulu and Red Box continue to steal market share.
Netflix announced and then reversed a decision to split off their mail and streaming services into different companies due to massive subscriber defection.
And now comes the filing Monday that Netflix expects to lose money in all of 2012. The company is currently trying to expand into England and Ireland and faults those expansions as being largely responsible for expect shortfalls in 2012.