Netflix share of SVOD revenue in the U.S. will continue to decline
While Netflix will keep growing its U.S. revenue, its share of the market will keep dwindling as competition from other services heats up, Insider Intelligence forecasts.
Why it matters: It's one of the many reasons Netflix is tying its future to overseas expansion.
By the numbers: Netflix is still the market leader, accounting for 35% of all global streaming users (note: Insider Intelligence estimates roughly 2.5 users per subscription).
- The U.S. accounts for 27% of Netflix's viewership, and that number is expected to shrink further.
- Western Europe and Asia-Pacific are two other regions where Netflix has become particularly strong.
What's next: Netflix reports its first-quarter earnings on Tuesday. The streaming giant is expecting a net addition of 2.5 million subscribers.
What they're saying: "Netflix's global subscriber growth will likely be reduced in Q1 after adding 8 million subscribers last quarter and enacting service suspensions in Russia. Because Russian subscribers do not count for a substantial portion of Netflix accounts, long-term impact will be limited," Insider Intelligence principal analyst Ross Benes said.