Details in our news. The popular digital media platform Netflix had to make a new decision within the current market conditions. The giant platform facing a budget issue has decided to control its expenses. Here are the details.
Netflix took precautions not to harm its employees
There were predictions that various measures could be taken regarding the problems Netflix is facing. One of these predictions, layoffs, was almost regarded as ‘certain.’ However, Netflix chose to restrict its budget and aim to create new revenue models instead of laying off its employees to relieve its economic distress.
According to the new decision, Netflix aims to save 300 million dollars from its expenses this year. The company, which has set a lower than predicted budget restriction, can overcome its problems without taking extra precautions with both this step and new revenue models.
The most current model aimed at providing additional revenue to the company is the restriction on password sharing between subscribers. Subscribers living in the countries where this model is implemented have to pay an extra fee to be able to share their account passwords among themselves. Although this model was initially met with resistance, over time the reactions are decreasing and the company’s additional revenue expectations are being met. Although the model is currently being implemented in some European countries, it will soon become more active in many other countries, especially in America.
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