3 Clues About Netflix Subscriber Trends

So much ink has been spilled about Netflix's (NASDAQ: NFLX) prospects in a world of increasing video-streaming competition from the likes of Disney (NYSE: DIS), Apple (NASDAQ: AAPL), AT&T's HBO Max, Comcast's Peacock, and others. Two of those competing services have launched so far: Apple TV+ debuted on Nov. 1 and Disney+ followed on Nov. 12. We won't know what impact they had on Netflix's subscriber numbers until the company reports its fourth-quarter earnings on Jan. 21, but we have three strong indications about how subscriber trends have fared since those competing services launched.

The first clue was dropped by Netflix CEO Reed Hastings, who was interviewed by Andrew Ross Sorkin at The New York Times Dealbook conference in New York on Nov. 6 -- just days after the debut of Apple TV+. Regarding the new services, Hastings said, "It will be some more competition for us but we've already got a lot of competition. And most of it is people will watch less linear TV and now watch, say, Disney content on the Disney+ service."

If the recent launch of Apple TV+ had had a dramatic impact on Netflix's subscriber numbers, it's unlikely Hastings would have been so nonchalant about the competition. So that's one clue it's business as usual for the streaming pioneer. The executive went on to explain why the real competitive measurement between these services won't be revenue or subscribers, but time spent on the service:

Source Fool.com