How Do They Make Money?

Netflix has 302M paid memberships in over 190 countries. Holy cow they hit scale.

The have a single operating segment (unusual for a company this size-- i like the simplicity)

They make money, as we all know, through subscription fees.

In 2023, Netflix restricted password sharing, but introduced a lower-cost ad-supported tier. Checkout their growth numbers-- insane. Paid memberships exploded 40% in 2024. I'm not sure if they can continue this growth after the watershed crackdown on password sharing, but man I wish I would've realized how big that crackdown would be.

Link to 2024 annual report