Netflix CEO says growth slowing as company expands live and AI
At the Bloomberg Screentime conference, Netflix co-CEO Ted Sarandos said the streaming service is not growing as fast as expected and that engagement shows signs of slowing. Netflix recorded only a 2% engagement increase while revenue grew, and shares have fallen about 24% this year as the company forecasts slower revenue and profit growth amid higher content spending. Netflix is reallocating resources, putting about 5% of its $20 billion content budget (roughly $1 billion) into live programming, expanding theatrical releases and increasing generative AI investment, including the $587 million InterPositive acquisition.
Netflix allocates about $1 billion to live programming this year.
Context
Netflix reported slowing engagement even as revenue rose. The company is boosting…
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