Jan 19, 2023 - Economy

Reed Hastings stepping down as Netflix co-CEO to become executive chairman

Photo by Michael M. Santiago/Getty Images

Netflix co-founder Reed Hastings is stepping down as co-CEO of the streaming giant, and is moving into a new role as executive chairman, the company announced Thursday.

Why it matters: Hastings has led the company for 25 years, and has been the chief architect behind some of its most critical transition points — most notably, its transition from DVDs to streaming.

Details: As part of the leadership change, Netflix co-CEO Ted Sarandos will be joined by a new co-CEO — current Chief Operating Officer Greg Peters.

  • Peters will also join Sarandos, Hastings and others as a member of Netflix's board. All three executives have worked together at Netflix for 15 years, the company noted in a memo to investors.
  • Sarandos was named Hastings' co-CEO in 2020.
  • Bela Bajaria, Netflix's former head of global TV, has become Chief Content Officer.
  • The company's head of film Scott Stuber has been named chairman of Netflix Film, a nod to the company's growing movie ambitions.

What they're saying: “I want to thank Reed for his visionary leadership, mentorship and friendship over the last 20 years. We’ve all learned so much from his intellectual rigor, honesty and willingness to take big bets – and we look forward to working with him for many more years to come," Sarandos said.

  • "Since Reed started to delegate management to us, Greg and I have built a strong operating model based on our shared values and like-minded approach to growth. I am so excited to start this new chapter with Greg as co-CEO."

The big picture: The executive shakeup comes as Netflix moves to diversify its business from being fully reliant on ad-free subscriptions.

  • The company has introduced a new subscription advertising tier and has pushed to build up its gaming and merchandising businesses.

Go deeper: Netflix spreads its wings

Editor's note: The story has been corrected to show that Bela Bajaria, Netflix’s former head of global TV, has become the chief content officer, not replaced Peters, who did not occupy that position. Peters is the chief operating officer.

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