Founded in 1997, Netflix was originally an easy way to borrow DVDs without the late fees or due dates. In 2007, the company introduced its digital streaming service and by 2012, it was entirely dedicated to streaming and producing original content. 

In 2017, Netflix reached 100,000,000 subscribers, with the numbers doubling in four years, peaking at around 230 million subscribers worldwide. It produced hit original content, like Stranger Things, with season one releasing in 2016, which currently ranks as the most watched show on Netflix, at 1.88 billion hours watched. 

But within the span of just the last six months, subscription numbers have headed in a downward trajectory, thus leaving the fate of Netflix hanging in the balance. 

This year, one of Netflix’s biggest competitors, Disney, has taken precedence. The Disney streaming brand of Disney+, Hulu, Hotstar, and ESPN+ now surpasses Netflix in streamers, with now over 221 million subscribers. 

Yet even in the face of Netflix’s subscriber decrease, it would seem that the loyalty of teenagers never wavers, with one third of the Gen-Z population viewing television only through streaming services.

“I love Netflix! I find myself turning to it the majority of the time,” expressed avid streamer and NASH senior Jocie Smith. 

However, Netflix’s numbers don’t lie. There was a 26% drop in female Gen-Z viewers on Netflix’s mobile app. Netflix may maintain its popular original teen shows, but the longevity of the streaming service is in jeopardy. The Netflix original, Outer Banks, earns 1.16 million views and is 5.4% higher than the average cable show. The iconic book adaptation of 13 Reasons Why has had a successful first season on Netflix with 476 million view hours. The competition continues to take a toll on the once beloved streaming service, despite its successes.  

In recent years, Netflix has removed some of its most popular programs, such as The Vampire Diaries and Friends.  As such shows move to HBO Max and Prime Video, it raises the question of whether Netflix is worth the hefty price increase of $15.49. 

After Disney realized its streaming service in 2019, Netflix lost $8 billion in market capitalization. While Netflix already went through with removing hit shows Friends and The Office a 2019 survey foreshadowed Netflix’s loss in streaming numbers, when 32% of subscribers stated they would cancel their subscription if these shows were removed.

“I only have Hulu and Netflix but I turn on Hulu more,” said conflicted streamer and senior Varsha Girish. “Hulu has the classics, not programs that are cringy and out of touch with my generation.” 

The 2022 Emmys showed the true winner of best quality content in the streaming world. On September 13th, HBO  took home the most Emmys compared to other streaming services, at an astounding 38 awards. Netflix came up short winning 26 awards, an obvious decline from 44 Emmys at the 2021 award show. 

In almost ten years, Netflix has produced over 1,500 original titles, many of which seized the attention of viewers. For example, You ended its third season with ravished streamers, becoming one of the most watched shows on Netflix. 

But the cost is steep. Netflix plans to put 46.5% of its almost $19 billion budget into original content in 2025, and if subscribers lose interest in this expensive new content, Netflix may face trouble.

Girish described Netflix’s new original shows as “quantity over quality,” an example of the wavering faith Gen-Z has for the service.

“I have three streaming services—Netflix, Disney+, and Prime Video—and I use them equally,” said senior Emily Wincko.

Wincko found that keeping a balance is “necessary to have an enjoyable programming experience.”

Consumer preference for balance makes competition difficult for all platforms, not just Netflix. 

Additonally, every streaming service seems to offer a unique array of viewing options, which leads to every platform attempting to catch up. In 2023, Netflix plans to introduce an ad-supported plan. This plan will compete with Hulu’s $6.99 ad-supported viewing experience and Discovery Plus’s $4.99 a month viewing option with adds.  The streaming services seem to learn from each other, in regard to new ideas to stay ahead of the competition.

Even though 85% of U.S. households subscribe to one or more streaming services, the Gen-Z population has found creative ways to watch unlimited content. The U.S. is now leading the world in pirated movies and TV, with 13.5 billion visits to pirating websites in 2021. The viewing of pirated films and programs has the potential to negatively impact these streaming services. 

“I don’t have Netflix,” said NASH senior Siddharth Jayakrishnan. “There are so many other ways to watch original content or old shows.”

As Jayakrishnan described it, “Netflix price gouged its subscription services.”

Yet many viewers find ways around this hefty cost, with over 30 million U.S. households using Netflix through shared passwords. The use of shared passwords proves further that Netflix seems to have more problems than just viewer count.

The competition Netflix faces is increasingly fierce, which contributes to its wavering success recently. The loss of old subscribers and the inability to gain new ones may be a sign that even rougher days are ahead.