Netflix does not expect less subscribers or more piracy due to proxy blocking

The CEO of Netflix does not expect that the measures the company is taking against the use of VPNs and other proxies will have a negative impact on subscriber growth. Nor would the move drive users to illegal alternatives.

The video service chief, Reed Hastings, said in announcing the quarterly results that he did not expect any impact on the number of subscribers from the measures against proxies. “We’ve always had a blacklist against proxies, we’re just getting a comprehensive and advanced blacklist now,” he said. He also does not expect an increase in piracy from the move, as the use of proxy workarounds is small-scale compared to illegal downloading and of a different caliber, as proxy users do pay for the service.

The reason for tightening the policy, he says, is that content providers have legitimate desires to license videos in different countries. Many users resort to VPNs and proxies, because the offer in, for example, the US is many times greater than in their home country. Netflix emphasized that its own content is available worldwide and that the service aims to license worldwide third-party videos.

Netflix also announced that it has now broken the limit of 75 million users worldwide, of which 70 million are paid subscribers. In the US, growth has stopped and further growth of new customers must come from the other 159 countries where the service is now available. However, Netflix is ​​in no rush to come to China. “We’re taking our time,” Hastings said. He was referring to exploring the Chinese market, which is known to be difficult due to government interference.