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In an interview with Bloomberg, Netflix's new co-CEOs Greg Peters and Ted Sarandos said passwords are not to be shared. According to Peters, the video streaming platform will not sacrifice the consumer experience even after implementing controlled password sharing, as it will be a phased approach. He added that most users who don't pay for Netflix but do use it will eventually have to pay for content. He said it won't be a universally popular type of event and the company is likely to face some disgruntled customers. Furthermore, the CEOs stressed that the company plans to grow the subscriber base by 15-20 million with a focus on countries like India. In the interaction, asking about the number of people who will pay to share the password, Peters responded that the video streaming platform would like to win back all of these users by providing them with content like "Glass Onion" every week. As a reminder, the OTT platform recently launched a lower-priced ad-supported tier in November that is available in 12 markets, including the US, Australia, Brazil, UK, Canada, France, Germany, Italy, Japan, South Korea, Mexico and Spain.
Netflix paid net additions stood at 7.7 million globally in the December 2022 quarter versus 8.3 million in the same period of 2021. In the Asia-Pacific region, Netflix added 1.8 million paid members in the December quarter, down from the added 2.58 million in the same period a year ago. The streamer does not reveal India-specific numbers separately. The fourth quarter saw 2% year-over-year revenue growth, driven by a 4% increase in average paid memberships. ARM (average revenue per member) declined 2% year-over-year but grew 5% on a currency-neutral basis, Netflix said. Operating income of $550 million in the fourth quarter was down from $632 million in the fourth quarter of 2021. To add more subscribers, Netflix will bring more restrictions.
