Netflix, the streaming juggernaut that has upended the entertainment industry, showed signs of vulnerability Wednesday when it reported that it had lost 126,000 paid subscribers in the United States during the second quarter. It was the first time the company had shed domestic streaming customers since it started its digital service 12 years ago. The number of those subscribers dropped during a time when the price for Netflix went up. The second quarter is typically Netflix’s weakest time of year, but its performance this time was unusually poor. In its letter to shareholders on Wednesday, the company acknowledged that the higher subscription cost had something to do with its failure to meet second-quarter expectations.

Source: New York Times July 17, 2019 20:49 UTC