Netflix missed its subscriber growth targets by about a million subscribers in the three months ending in June, sparking concern among investors that there might be a saturation limit for the streaming platform. The company's stock price fell 14 percent on the news, the BBC reports, although that came after an impressive run that saw the stock gaining much more value than that over the past year.
Netflix has 130 million subscribers globally. It had projected the addition of 6.2 million subscribers in the quarter, but it managed to get 5.2 million instead.
Some investors have seen Netflix as the future of television—a sure-to-be dominant hub for all our entertainment viewing. But the landscape is increasingly looking more like an unbundled version of the old cable model—dozens of channels from Netflix to CBS to Showtime, each with their own monthly fee. The economics of putting it all in one $8-15/month subscription service were never sustainable.
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