Netflix, welcome to ratings hell

The TV-network giants went through ratings hell. It’s time for Netflix’s own version of that.

After the market closed on Wednesday, Netflix Inc. reported that it lost 126,000 US streaming customers during the second quarter, which appears to be the first time it’s ever done so. Global membership growth was also well short of management’s own expectations, with 2.7 million net sign-ups versus an anticipated 5 million. The company blamed its uninspiring results on subscription price increases and a less-enticing mix of movies and TV series. While it signaled that “more typical growth” and better content is in store, shares of Netflix sold off 12%, erasing $17 billion from its market value.