Comment Re:Psst. You can only grow to saturation. (Score 1) 40
Exactly.
Also, as Adam Conover (yeah, that Adam from "Adam Ruins Everything", he's also one of the WGA negotiators in that last strike) explains, Netflix deliberately deliberately price dumped for years, telling investors that this was necessary to secure a monopoly on premium streaming, knowing fully well that it was not a viable long-term business model. The other major distributors followed the same business model to try and compete with Netflix and, as expected, failed because Netflix already had the first-mover advantage and the most mature tech.
Now that this monopolistic market position has been secured by Netflix, investors expect a return on their investment; for that, Netflix must end price dumping and turn profitable. That means higher prices and/or -- as everyone in the trade knew since the cable TV days-- ads. Lots of ads.