Streaming giant Netflix lost 200,000 subscribers in the first three months of 2022, and the company says it expects to lose 2 million more before the end of June.
However, the company says those losses came from cutting off services to Russia in the wake of the invasion of Ukraine. Without the loss of Russian subscribers, the company actually would have added 500,000 subscribers for the first quarter of the year.
However, the service is not adding new subscribers at the rate it has in previous years. Netflix blames password sharing and the growing number of competitive streaming services.
To keep those subscriber numbers growing, the company plans to crack down on password sharing and is also considering adding a lower-priced version of the service that includes commercials.
Streamers like Hulu, Paramount Plus, and Peacock all offer lower-priced ad-supported options. Netflix earned a net income of $1.6 billion dollars for the first three months of 2022.