Saudi Press

Saudi Arabia and the world
Thursday, Mar 19, 2026

Shareholder Sues Netflix Over Subscriber Slip

Shareholder Sues Netflix Over Subscriber Slip

The suit filed Tuesday in federal court in San Francisco accuses top executives at Netflix of not telling investors that subscriber growth was slowing.
A Netflix shareholder is seeking class action status for a lawsuit accusing the streaming television titan of not making it clear that subscriber numbers were in peril.

A disclosed drop of just 200,000 users -- less than 0.1 percent of its total customer base -- was enough to send shares plunging after Netflix announced quarterly earnings in April.

The company anticipates a much larger drop in the current quarter -- of around two million net subscribers.

The suit filed Tuesday in federal court in San Francisco accuses top executives at Netflix of not telling investors that subscriber growth was slowing due to people sharing accounts and competition ramping up in the market.

"Defendants' positive statements about the company's business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis," read the suit filed by lawyers at Glancy Prongay & Murray on behalf of a shareholder.

Netflix did not immediately reply to a request for comment.

Executives at the company said on an earnings call that they are focused on combating the 100 million households who watch Netflix for free thanks to shared passwords.

"When we were growing fast, it wasn't the high priority to work on," co-founder Reed Hastings admitted. "And now we're working super hard on it."
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia Reports Drone Strike on Key Red Sea Refinery in Yanbu
United States Urges Citizens to Leave Saudi Arabia Amid Escalating Regional Conflict
Former Media Executive Chronicles Rise of Saudi Crown Prince in New Book
Saudi Aramco–Exxon Refinery in Yanbu Targeted in Latest Wave of Iranian Attacks
Greek-Operated Patriot System Intercepts Iranian Missiles Over Saudi Arabia
Asian Refiners Urge Saudi Arabia to Revise Oil Pricing as War Upends Markets
Arab and Muslim Ministers Convene in Riyadh to Coordinate Response to Iran Crisis
Saudi Arabia Expands Global Partnerships to Accelerate Vision 2030 Transformation
Europe and Japan Signal Readiness to Help Secure Strait of Hormuz Amid Escalating Crisis
Saudi Arabia Signals Firm Stance as Iranian-Linked Attacks Intensify
U.S. Lawmakers Press Rubio to Enforce Strong Safeguards in Saudi Nuclear Deal
Iran Issues Evacuation Warning to Gulf States After Strike on Major Gas Field
Saudi Arabia to Convene Arab and Islamic Ministers for Urgent Talks on Regional Conflict
Saudi Arabia Confirms Eid al-Fitr as Moon Sighting Determines End of Ramadan
Saudi Arabia Boosts Crude Exports to Highest Levels Since 2023, Data Shows
Iran Issues Warning to Gulf Energy Infrastructure Following Strike on Major Gas Field
Saudi Arabia Restarts Ras Tanura Refinery Following Drone Strike, Reinforcing Energy Resilience
Saudi Arabia Restarts Ras Tanura Refinery Following Drone Strike, Reinforcing Energy Resilience
Saudi Arabia Intercepts Ballistic Missiles Targeting Riyadh Amid Escalating Regional Tensions
Saudi Arabia Restores Significant Oil Flows Using Hormuz Bypass Amid Regional Tensions
Saudi Arabia Signals Potential Activation of Defence Pact with Pakistan Amid Escalating Iran Conflict
Saudi Supreme Court Urges Muslims to Observe Crescent Moon for Eid Determination
Saudi Supreme Court Urges Muslims to Observe Crescent Moon for Eid Determination
Saudi Arabia Reassesses Iran Strategy as Regional Conflict Tests MBS’s Diplomatic Bet
Iran Steps Up Drone Strikes on Saudi Oil Sites, Heightening Risks to Global Supply
Regional Fallout Grows as Iran Conflict Sends Shockwaves Across Jordan, Saudi Arabia, and Egypt
Saudi Arabia Intercepts Seven Drones in Intensifying Regional Security Threat
Saudi Arabia Intercepts Seven Drones in Intensifying Regional Security Threat
Saudi Arabia Weighs Regional Risks as Iran Conflict Deepens and Security Calculations Shift
Gulf States Confront Limits of U.S. Protection as Regional War Intensifies
Gulf Producers Rush to Reroute Oil Exports as Iran Tightens Control of Hormuz Strait
Saudi Gaming Investment Arm Acquires Strategic Stake in Capcom to Expand Global Influence
Iran Intensifies Strikes on Saudi Oil Infrastructure as Regional War Escalates
Saudi Arabia Targets South African Professionals in New Recruitment Drive Amid Regional Uncertainty
Formula One Faces Major Financial Hit as Bahrain and Saudi Arabian Grands Prix Cancelled Amid Middle East Conflict
U.S. and Saudi Firms Launch Local Production of Attritable Drone Systems in Saudi Arabia
Saudi Arabia and UAE Warn Rising Gulf Tensions Could Endanger Regional Security
Saudi Arabia Rejects Claims It Encouraged Prolonged War With Iran
Saudi Arabia to Host World’s Largest Single-Cell Protein Plant as Food Security Push Accelerates
Saudi Crown Prince Urges Trump to Continue Military Pressure on Iran
Iran Intensifies Drone Campaign Against Saudi Arabia as Gulf Conflict Escalates
When Is Eid al-Fitr 2026? Saudi Arabia Awaits Moon Sighting to Confirm End of Ramadan
When Is Eid al-Fitr 2026? Saudi Arabia Awaits Moon Sighting to Confirm End of Ramadan
Iranian Missile Strike Damages Five U.S. Refueling Aircraft at Saudi Air Base
Iranian Missile Strike Damages Five U.S. Refueling Aircraft at Saudi Air Base
Washington State Pilot Among Six U.S. Airmen Killed in Military Aircraft Crash Over Iraq
Severe Storm Threat Looms Over Washington as Tornado Risk and Damaging Winds Target Mid-Atlantic
Trump Supports FCC Warning to Broadcasters Over Iran War Reporting
Trump Supports FCC Warning to Broadcasters Over Iran War Reporting
Saudi Stocks Edge Lower as Tadawul All Share Index Slips Slightly at Market Close
×