The online video streaming behemoth (and occasional disc rental service) known as Netflix has announced quarterly earnings, and they are spectacular . Earnings were up 88% year over year, with revenue of $719 million. The big news however, this that Netflix added 3.3 million subscribers, to end at 23.6 million. That means Netflix has more subscribers than Comcast.
Of course, since Netflix is available throughout the US and Canada, it has a larger potential subscriber base. Still, this is a supplemental service and it's telling that so many consumers have decided to join up. In some ways, this isn’t surprising. Netflix is working to expand their streaming offerings by making aggressive plays like commissioning its own series "House of Cards". Even with all the investments, Netflix managed a $60 million profit in the first quarter.
If this growth continues, we may begin to see content owners pull back more as they continue to feel threatened by Netflix. Some channels, like Showtime, have already begun removing content from Netflix. But by the time they get that scared, will it be too late?