You can go look at investor reports yourself to see spend/revenue. They spent $2.5b in 2022 on ALL tech including servers, bandwidth, engineer salary, etc. Another $1.5b on everyones elses salary.
By contrast they spent $17 BILLION (with a b) on content each year in 2021 and 2022. Thats what they are dialing down now. They have 75m NA customers and 74m EU customers who each pay ~$15/mo ($10, $15, $20 plans) or $2.2 billion a month or $26b a year in revenue (another $5b from LatinAmerica/Asian customers who pay significantly less per month).
I think long term the thing that will bite them in the ass is that they have been going hardcore after reality TV and global TV (Squid Game/Asian, South American, Bollywood, etc) and most of us have seen our reco's filled up more with that shit than English shows. If they start bleeding again Western audiences like they did in early 2022 revenue takes a huge hit.
Right now they are betting more people will sub on their own if sharing cuts some people off, but that seems like a huge risky bet. We'll see. They increased total Western subs by a lot in the last quarter, but that just may be a ton of people subbing during the holidays I would guess.
www.cnn.com
ottawa.citynews.ca
