Netflix Sets Record for Number of New Quarterly Subscribers Amid Coronavirus Lockdowns

As millions of people are confined to their homes due to stay at home orders around the globe, Netflix is seeing a surge in the number of new subscribers.

The streaming service announced that in the first quarter of 2020, it saw a record-setting 16 million new subscriptions. However, in a letter to investors, the company said the strength of the dollar meant that the boost in new subscribers did not correlate with a jump in revenues.

“Like other home entertainment services, we’re seeing temporarily higher viewing and increased membership growth. In our case, this is offset by a sharply stronger US dollar, depressing our international revenue,” the letter read.

Netflix said that it expects the growth of new subscriptions to slow as stay at home orders are lifted around the globe, “We expect viewing to decline and membership growth to decelerate as home confinement ends, which we hope is soon.”

Additionally, the company said that “almost all filming has now been stopped globally” due to the coronavirus. 

“This has been devastating for millions of workers in the TV and film industry – electricians, hair and make-up artists, carpenters and drivers who are often paid hourly wages and work project-to-project,” it added.

Finally, Netflix said it would spend $150 million to help the industry throughout the crisis.

As of Tuesday evening, there were more than 2,500,000 million cases of the coronavirus around the world.