Netflix loses millions of subscribers as co-founder Reed Hastings donates $7M to Kamala Harris campaign
LOS ANGELES, CALIFORNIA: Netflix recently lost millions of subscribers after the streaming platform's co-founder Reed Hastings said that he is backing Vice President Kamala Harris for president. He added that he also donated $7 million to the Democratic presidential candidate's campaign.
As per research firm Antenna, the rate of cancellations, known as churn, nearly tripled in the US after Hastings endorsed Harris in July, according to the Daily Mail.
Netflix lost 6M subscribers in just the first few hours after the announcement of them donating millions to the Harris campaign. pic.twitter.com/WupHCAoRxq
— BRIAN FRASER (@bfraser747) July 27, 2024
Netflix loses subscribers as co-founder Reed Hastings endorses Kamala Harris
Netflix, a top streaming platform with 280 million customers globally and 84 million in the US, reportedly has the lowest churn rate in the industry. However, US customers canceled their subscriptions at a rate of 2.8% in July which was the highest monthly figure since February 2024. It was reportedly a loss of more than 2 million subscribers.
The cancellations happened as supporters of GOP presidential candidate Donald Trump called for conservatives to end their subscriptions after Hastings backed Harris.
Hastings endorsed Harris in a post on social media platform X in July and wrote, "Congrats to Kamala Harris -- now it is time to win." After a few days, on July 26, Netflix faced the single worst day for cancelations, per Bloomberg.
Reed Hastings' support for Democrats
Netflix has tried to keep itself away from Reed Hastings' political ideas. The streaming platform is aware that it might end up offending subscribers who may have views that are different from Hastings.
In the summer of 2024, Hastings was one of the more vocal figures who called for President Joe Biden to not run again in the presidential race. He stated in an email that was obtained by the New York Times, "Biden needs to step aside to allow a vigorous Democratic leader to beat Trump and keep us safe and prosperous."
Netflix will release its earnings for the third quarter in mid-October and analysts believe this will provide more detail on the impact on subscriptions, as per Daily Mail.
It was also revealed in early 2024 that Hastings donated 40% of his ownership stake in Netflix, worth $1.1 billion, to a charity popular with tech billionaires for its tax breaks and privacy, the outlet added.
Internet divided as Netflix loses millions of subscribers
People on the internet had mixed reactions after it was reported that Netflix lost millions of subscribers due to Reed Hastings' backing of Kamala Harris and donation of $7 million to the Democratic presidential candidate's campaign.
A user asked on X, "Evidence? Because I can't find that data," while one added, "Time to subscribe to Netflix."
One person also stated, "I had heard this on other places. This is sad to hear. Netflix has been dropping anyway," whereas another mentioned, "If you show me proof I will cancel today."
I had heard this on other places. This is sad to hear. Netflix has been dropping anyway
— John W (@woody2581) July 29, 2024
Meanwhile, one individual wrote, "I don’t have Netflix in my house, but if I did, it would have been cancelled immediately. #ByeNetflix," while another commented, "There is plenty of streaming services that make it possible to watch a lot of tv without Netflix...and some of them are free. I like to choose what I pay for, unlike what I had with Dish and DTV."
I don’t have Netflix in my house, but if I did, it would have been cancelled immediately. #ByeNetflix
— Neva Ayer (@NevaAyer) July 27, 2024
There is plenty of streaming services that make it possible to watch a lot of tv without Netflix...and some of them are free. I like to choose what I pay for, unlike what I had with Dish and DTV.
— HistoryNut53 (@arkette53) July 29, 2024
One netizen further said, "We can survive without Netflix, fact is we survived before without," whereas another added, "Oh! I was thinking about signing backup. Thanks for the heads up!"
We can survive without Netflix,fact is we survive before without..
— # ADRENOCHROME IS ADDICTING (@junepineda8) July 27, 2024
Oh! I was thinking about signing backup. Thanks for the heads up!
— Tracy Osteen (@Tracy_L_Osteen) July 27, 2024
This article contains remarks made on the Internet by individual people and organizations. MEAWW cannot confirm them independently and does not support claims or opinions being made online.