⚠ UCAN Lost 919,000 Members in 2022Moderate threat

Netflix (NFLX) — threat to the moat

Netflix lost 919,000 North American members the last time prices outran value, and it no longer reports the number that would show a repeat.

Pricing power in North America has limits, and Netflix has hit them. In 2022 UCAN paid memberships fell by 919,0001, the year before paid sharing, as higher prices and a crowded market caught up with the service.

UCAN paid membership net additions (thousands)-91920225,83220239,4972024Netflix Form 10-K FY2024; 2023-2024 calculated from year-end memberships
A loss in 2022, then two good years.

The region is the most penetrated Netflix has, with 89.6 million memberships at the end of 20242. That leaves fewer new households and more members deciding each year whether the price is still worth paying.

The warning is already in the growth rate: UCAN revenue growth slowed from 18% in the fourth quarter of 2025 to 14% and then 10%3, while the latest price change took effect.

Two years later the picture was different: the fourth quarter of 2024 brought 18.91 million net additions globally, "the biggest quarter of net adds in our history"4. The recovery shows that the 2022 loss was not permanent; it also shows how much of the rebound depended on a one-time change in the rules.

Netflix no longer reports memberships, so a repeat of 2022 would show up only as revenue. A quarter in which UCAN revenue grows less than the price increase would say members are leaving again.

References
  1. ReportedIn 2022 UCAN paid memberships fell by 919,000, the year before paid sharing, as higher prices and a crowded market caught up with the service.
    Netflix Form 10-K for fiscal 2024 - paid memberships and average monthly revenue per paying membership by region for 2022-2024, regional revenue for 2022, and the 2024 currency impact. — FY2024 · publ. January 2025 · source ↗
  2. ReportedThe region is the most penetrated Netflix has, with 89.6 million memberships at the end of 2024.
    Netflix Form 10-K for fiscal 2024 - paid memberships and average monthly revenue per paying membership by region for 2022-2024, regional revenue for 2022, and the 2024 currency impact. — FY2024 · publ. January 2025 · source ↗
  3. ReportedThe warning is already in the growth rate: UCAN revenue growth slowed from 18% in the fourth quarter of 2025 to 14% and then 10%, while the latest price change took effect.
    Netflix second-quarter 2026 shareholder letter, Form 8-K exhibit 99.1 - quarterly results, regional revenue, 2026 guidance, view hours, live programming and advertising - financial results, regional revenue and 2026 guidance. — Q2 2026 · publ. 16 July 2026 · source ↗
  4. ReportedTwo years later the picture was different: the fourth quarter of 2024 brought 18.91 million net additions globally, "the biggest quarter of net adds in our history".
    Netflix fourth-quarter 2024 shareholder letter, Form 8-K exhibit 99.1 - record net additions and ads-plan sign-ups. — Q4 2024 · publ. 21 January 2025 · source ↗
Sources
Generated September 26, 2026