Netflix Plans to Cut Spending by $300M in 2023

Re:Netflix Plans to Cut Spending by $300M in 2023 by curiousDog on Friday May 12, 2023 @06:26PM (#35923286)

Describing engineers as "fat and happy" is really derogatory. Their spend on tech employees is a tiny fraction of total content spend. Also, an even tinier fraction of what they spend on services like AWS. If they want to cut costs, there's a ton more low hanging fruit than letting people go. In fact, revenue per employee is the highest compared to other FAANG

[ Parent | on HN ]

Re:Netflix Plans to Cut Spending by $300M in 2023 by nickff on Friday May 12, 2023 @07:46PM (#35923921)

If you look at the complaints about Netflix, most of them relate to content, not tech. This suggests that they've under-invested in content, and over-invested in tech.

[ Parent | on HN ]

Re:Netflix Plans to Cut Spending by $300M in 2023 by curiousDog on Friday May 12, 2023 @07:53PM (#35923963)

Disagree, total content spend the last 4 years has been ~18bn/year compared to ~500m/yr on all employee R&D. That's shows there's a content quality problem not a content underinvestment.

[ Parent | on HN ]

Re:Netflix Plans to Cut Spending by $300M in 2023 by nickff on Friday May 12, 2023 @08:14PM (#35924107)

According to their latest annual statement (2022), they spent 2.7 billion USD on "Technology & Development". Where are you getting the 500 million figure?

https://s22.q4cdn.com/959853165/files/doc_financials/2022/ar... page 23

[ Parent | on HN ]

Re:Netflix Plans to Cut Spending by $300M in 2023 by SilverBirch on Saturday May 13, 2023 @06:31PM (#35933405)

I think the tech side of Netflix is great, they do a great job. But it’s simply not what makes money for Netflix anymore and they are extra-ordinarily well paid.

[ Parent | on HN ]