Yes, you’ve heard correct, the online stream giant is under a great debt of $20 billion and this load is expected to increase more as the company is currently pursuing more paying customers and likely to increase the load.
Netflix currently has over 104 Million subscribers way much up when compared to last couple of years and its series and movies contribute an appreciable portion of stream online in America and other places as well. Despite these achievements, the company is under debt and that is very huge for long and short plans basis for production of more original contents.
The company is pressured to invest more and more in ongoing and upcoming series and movies as others rivals like Amazon, also have expanded their niches and likely to infer the company’s status as both companies and other as well expanding and likely to attract more online streamers so that was one of the reasons, why the company is under such burden and it seems this burden going to attract more burden as to cope with other services.
The result of above competition is that, Netflix is spending a large sum of money, around $6 Billion
this year on production of new contents and other Projects, which could again likely to increase load. Though the investors are looking forward to this steps as they believe to this strategy as spending money can create more money in near future and help company fighting its survival.
So let’s see what would the result of this steps as Netflix, as looks like, is not currently interested in their debt related problems rather they are more focused on their expansion and they are actually burning money to make more money.