Netflix Appears Quite Unaffected by VPN SmartDNS Blocking

As it seems, blocking the VPN users from accessing Netflix outside US (or any other country where it has launched officially) has not been so bad for its revenues. According to CEO Reed Hastings, the numbers are finally adding up.

So this means that even Netflix has overreacted. At the company, they awaited a much more significant decrease in their overall revenue. On the bright side for the company, the numbers remain at similar levels. This leads to the conclusion that VPN blocking has not been so bad.

Netflix availability areas worldwide
Countries worldwide where Netflix is officially available, red means available and black means not

Netflix has recently published the third quarter results for the company and they have been remarkable. The numbers have surpassed the initial expectations of Netflix. The streaming revenue has reached $2.2 billion; operating income stretched to $106 million, and net income was up to $52 million. Netflix’s share price came up 20 per cent too, after the positive results.

All these numbers show that the real importance for consumers is none other than the original content of Netflix. In other words, the content is what has been driving people to subscribe to Netflix and continue on their subscription. Despite any slight inconvenience deriving from VPN blocking, Netflix continues on its upward trajectory.

And the real complaints, according to Hastings, come from only a few people: “It’s a very small but quite vocal minority,”, as he has said in the past commenting on the discomfort resulting from VPN blocking.

Hastings stated that there is remarkable stability in the numbers of Netflix, despite the VPN blocking and the additional increase in the price rates for first Netflix subscribers. This has been an extra burden for Netflix. In some cases, the subscription was low, and it came up.

Now these prices do not apply anymore. As a result, some Netflix subscribers have expressed their concerns. Nobody wants to pay more for a service, after all. So this has been an additional problem that the company had to overcome.

The underlying reason that has made it possible for Netflix to grow and remain successful is the mentality of people and their attitude towards the Internet and web services.

To be more specific, he quoted the following: “We’re fundamentally in this growth cycle that’s to do with the Internet, smart TV, people getting used to on-demand, all of those aspects,”. This will definitely pave the way for Netflix to go on at a satisfactory rate, and of course, there are Netflix alternatives for folks who want to shift from it.

So the truth is that VPN blocking has not affected the company as much as some have anticipated. With the continuous growth of Netflix and its expansion to more countries, it is true that the revenues have remained steady. So even though the predictions were pessimistic, reality has been kind and even generous with Netflix.

Top/Featured Image: By Wikipedia under public domain rights

Tagged Topics | More Posts On:

Leave a Reply

Your email address will not be published. Required fields are marked *