Netflix’s annual review this spring revealed a decline in qualified play days, the metric that tracks how often subscribers log in, signaling that its programming was failing to retain viewers. The figure had been sliding for months, prompting an internal shift and preparations for job cuts.
Co‑chief executive Ted Sarandos oversaw one of the most dramatic shake‑ups in the company’s history, firing about 1,000 employees including the executives responsible for television shows and movies. The layoffs were described as a necessary evil to invest in high‑impact areas.
The company has lost roughly $300bn in market value since its peak last year, as revenue growth slowed and it failed to add net new US subscribers in any month during the first nine months of 2026, according to analytics firm Antenna. Analysts noted that the US business was not growing as fast as desired.
Sarandos insisted the underlying business was sound, while acknowledging the need for better execution. Among those dismissed was chief content officer Bela Bajaria, and a former Disney executive was brought in to help turn the slate around. The dismissals reflected Netflix’s famously unsentimental corporate culture.
Source: Financial Times Companies · Summarized by HeadlinesBriefing