Netflix Reports Record Growth Amid Sports Programming Boom

Netflix has seen significant growth, adding 18.91 million global subscribers in the fourth quarter, reaching a total of 301.6 million, bolstered by major sporting events such as the Christmas Day NFL games and the Jake Paul-Mike Tyson boxing match, which became the most-streamed sporting event in the company's history. The streaming giant reported a 16% increase in revenue to $10.25 billion and nearly doubled its net income to $1.87 billion compared to the previous year. Despite this success, Netflix's executives have stated they will not pursue large regular-season sports rights, focusing instead on special-event programming like the FIFA Women’s World Cup, which they have secured U.S. rights for in 2027 and 2031. They emphasized that live programming, while important, will constitute a small part of their overall strategy and costs. Analysts have expressed interest in Netflix expanding its sports portfolio, but executives remain committed to their current approach, valuing cost discipline in an era of rising sports rights fees. The company aims to enhance its ad revenue through live programming, creating urgency around its content offerings.