Netflix expected to signal the end of the Covid TV streaming boom

Netflix is expected this week to report the lowest number of new subscribers in the first quarter for four years, perhaps signalling the end of the home entertainment pandemic boom.

For Netflix, which passed 200 million subscribers last year as record numbers signed up to beat lockdown boredom, the first quarter is traditionally its strongest for new sign-ups, with families in key markets including North America and Europe looking to be entertained while stuck at home during winter weather.

However, this year Netflix is forecasting 6 million new subscribers, the lowest first-quarter increase since 2017, well down on the almost 16 million sign-ups in the first quarter last year, as lockdown restrictions ease.

“It is not quite the end of the pandemic effect for streaming services but we are beginning to see the tail end of it; it’s definitely on the wane,” said Richard Broughton, analyst at Ampere.


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