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Go Woke Go Broke: Netflix Cancellations Surge After Co-Founder Donates to Kamala Harris
NOT WOKE SHOWS • October 7, 2024

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Go Woke Go Broke: Netflix Cancellations Surge After Co-Founder Donates to Kamala Harris

Bloomberg Reports: The rate of cancellations almost tripled after Trump backers called for action against the streaming service.


Netflix suffered a surge in cancellations in the days after its co-founder and chairman, Reed Hastings, endorsed Kamala Harris for president and donated millions to her campaign.


The rate of cancellations – churn in industry parlance – nearly tripled in the US after his endorsement, according to the researcher Antenna. The streaming giant has the lowest churn in the industry.


Customers in the US canceled Netflix at a higher rate in July — 2.8% — than any month since February. That is largely due to the company’s decision to phase out its basic tier. Basic was the cheapest advertising-free version of Netflix. But the five-day period after Hastings’ endorsement was unusual, even for July.


Hastings, a longtime Democratic donor, endorsed Harris in a post on the social media platform X on July 22. A day later, Hastings told The Information that he donated $7 million to a pro-Harris super PAC. Shortly after Hastings’ endorsement, fans of Donald Trump began urging people to drop the service. Some posted photos showing they had closed their accounts alongside the hashtag #CancelNetflix. Three days later after the donation became public, July 26, was the single worst day for Netflix cancellations this year.


The company declined to comment while Hastings didn’t respond to a request for comment.


The spike in cancellations at Netflix lasted just a few days. It wasn’t as severe as the reaction in 2020 when conservatives asked Netflix to take down the French movie Cuties, which they felt exploited children. (Some of the people who attacked Netflix had not actually seen the movie.)


The long-term effect of these incidents can be hard to gauge. Advertisers and companies were eager to speak out on social issues following the murder of George Floyd. Many companies raced to show their support for the Black community and started new programs or initiatives to promote diversity, equity and inclusion (or DEI). Netflix shifted cash to Black-owned banks while Hastings donated to historically black universities.


Yet in recent years opponents have started to take on DEI initiatives. Sales of Bud Light tanked after an advertising campaign featuring a transgender influencer sparked a boycott by conservatives. Critics of DEI have been emboldened since the Supreme Court ruled affirmative action programs designed to boost racial diversity on college campuses are discriminatory.

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