×
You will be redirected back to your article in seconds

Netflix CEO Says U.S. Rollback of Net Neutrality Rules Is No Big Deal

Reed Hastings says consumers worldwide now have an 'expectation' of net neutrality

Netflix chief Reed Hastings — who has been an ardent and vocal supporter of net neutrality rules to ensure service providers don’t discriminate against internet content companies — said the U.S. reversal on net neutrality won’t have an impact on the streamer’s business.

“Around the world, net neutrality has won as a consumer expectation,” Hastings said, speaking in a post-Q2 earnings announcement interview hosted by Netflix. “I would say the net neutrality advocates have won the day, in terms of those expectations, so we don’t see any changes of that in the U.S. or other countries.”

Last December, when the Federal Communications Commission voted along party lines to repeal the Obama-era rules, Netflix came out firmly against the decision.

“We’re disappointed in the FCC’s decision to gut the net neutrality protections that ushered in an unprecedented era of innovation, creativity and civic engagement,” Netflix said at the time. “Netflix will stand with innovators, large and small, to oppose this misguided FCC order.”

This past May, the U.S. Senate passed a resolution to restore the FCC’s net neutrality rules but that would still need approval by the House and to be signed by President Donald Trump, who has opposed the need for net neutrality. Trump’s pick for the U.S. Supreme Court, Brett Kavanaugh, has expressed strong opinions against net neutrality.

In years past, Hastings himself has argued strongly in favor of net neutrality laws. In 2014, the CEO weighed in on a court defeat nullifying the Obama administration’s Open Internet rules at the time (after a legal challenge by Verizon), saying in a letter to shareholders that Netflix would “vigorously protest and encourage our members to demand the open internet they are paying their ISP to deliver.”

Since then, Netflix has grown its subscriber base dramatically and has cut direct deals with ISPs including Comcast to guarantee dedicated bandwidth for its video traffic.

On Monday, Hastings said that regardless of whether any given country has net-neutrality laws, “broadly, around the world, consumers have the expectation [of net neutrality] and ISPs are delivering it.”

Hastings’ comments downplaying the impact of the U.S.’s reversal on net neutrality came after Netflix missed its Q2 subscriber forecast target by about 1 million. That sent the company’s historically volatile stock down 14% in after-hours trading Monday.

Despite the shortfall, Netflix ended the quarter with 130.1 million global streaming customers, up 25% year over year, and for the first time ever generated more revenue abroad than in the U.S.

More Digital

  • Dwayne Johnson Skyscraper

    People Really Want The Rock as the Voice of Their Smart Speaker

    Maybe Google was onto something when it used John Legend as the voice of its smart speakers: Nearly 1 in 3 participants in a recent Adobe smart speaker survey said that they want a celebrity as the voice of their AI assistant. Participants of the Adobe Analytics June 2019 Voice Report also had some clear [...]

  • jfk mooonshot ar app artwork

    JFK Presidential Library Releases Moon Landing Augmented Reality App

    The John F. Kennedy Presidential Library has released an augmented reality app (AR) to commemorate the 50th anniversary of the moon landing, and the role President Kennedy played in getting the U.S. to the moon. The app, which is available for free for iPhones and Android, lets users relive the Apollo 11 mission in their [...]

  • hdhomerun roku app

    HDHomerun App Brings Live TV to Roku Devices

    Roku users are getting another way to watch live television with the help of their favorite streaming devices: Silicondust, maker of the HDHomerun TV tuners, has released a beta version of its HDHomerun app for Roku TVs and streaming devices. “We need to start out by saying this is very much a beta product,” the [...]

  • Vox Media

    Vox Media Staff Ratifies First Union Contract, Negotiated by Writers Guild

    Staffers at Vox Media, which includes Curbed, Eater, Polygon, Recode, SB Nation, The Verge and Vox.com, have ratified their first collective bargaining agreement with more than 90% in support. The staffers are represented by the Writers Guild of America East. Vox Media’s 350-member unit began bargaining their first contract in April 2018. The campaign to [...]

  • Joslyn Davis, Lily-Marston - Shared Media

    Clevver’s Joslyn Davis, Lily Marston Launch Their Own YouTube Media Venture (EXCLUSIVE)

    Here’s the latest chapter in the saga of Clevver, the entertainment/lifestyle YouTube network marooned by the shuttering of former parent Defy Media and subsequently snapped up by Hearst Magazines. Two of the principal creatives behind Clevver — Joslyn Davis and Lily Marston — together with Clevver Media co-founder Jorge Maldonado have launched Shared Media, their [...]

  • Money-Diaries-Refinery29

    Refinery29 to Produce Interactive Series Funded by Eko (EXCLUSIVE)

    Refinery29 has been bitten by the “Bandersnatch” bug. The millennial-female-focused digital media and entertainment company inked a pact with Eko, an interactive-video platform developer whose backers include Walmart, to produce several “choose-your-own-adventure”-style series based on Refinery29 content properties. The companies have started development on their first project: an interactive scripted adaptation of Refinery29’s popular “Money [...]

More From Our Brands

Access exclusive content