Netflix is the largest streaming video subscription service in the world. Created by Reed Hastings and Marc Randolph in 1997, the company has revolutionized the video content subscriptionmodel โ as explored in the shift from SaaS to agentic service models โ with over 325M paid memberships as of the fourth quarter of 2025, according to Netflix. The success of Netflix is due to two factors. The first is a recommendation system that gives suggestions on what customers should watch based on their viewing history. The second is the vast catalog of content on offer โ produced by third parties and by Netflix itself. These factors have resulted in Netflix competing against influential TV networks and film producers for viewership.
Updated 6 October 2026: we refreshed 14 figures on this page, now taken from thewaltdisneycompany.com, SEC EDGAR filings and aboutamazon.com. Anything we could not check against a current source keeps its original year, so you can see how old it is.
Latest figures · checked 6 October 2026
Netflix reported full-year 2025 revenue of $45.2B, up 16% year over year, with an operating margin of 29.5%. SEC EDGAR filings
Netflix crossed 325M paid memberships during the fourth quarter of 2025. SEC EDGAR filings
Netflix’s revenue for the second quarter of 2026 was $12.6B, up 13% year over year. SEC EDGAR filings
Netflix forecasts full-year 2026 revenue of $51.0-$51.4B, which it says represents 13%-14% growth. SEC EDGAR filings
Netflix had approximately 16,000 full-time employees as of December 31, 2025. SEC EDGAR filings
Disney reported 131.6 million total Disney+ paid subscribers and 64.1 million total Hulu paid subscribers at September 27, 2025. thewaltdisneycompany.com
Warner Bros. Discovery said it exceeded its guidance of more than 140 million global streaming subscribers at the end of the first quarter of 2026. SEC EDGAR filings
Description. A video streaming service offered as part of Amazon Prime membership. Amazon Prime Video competes directly with Netflix in the streaming entertainment space.
Key Insights. Amazon Prime Video provides a vast library of movies and TV shows, directly competing with Netflix in segments like on-demand streaming and original content, targeting subscribers looking for a wide range of content.
Competitive Overlap. Both compete in the on-demand streaming and original content market, offering access to a diverse catalog of movies and series, with Amazon Prime Video’s focus on bundling with Amazon Prime membership.
Differentiation. Amazon Prime Video’s integration with Amazon Prime’s other benefits.
Disney+
Description. A streaming service from The Walt Disney Company offering Disney, Pixar, Marvel, Star Wars, and National Geographic content. Disney+ competes with Netflix in the streaming entertainment sector.
Key Insights. Disney+ features a collection of popular franchises and exclusive content, directly competing with Netflix in segments like family entertainment and original series, targeting families and fans of Disney content.
Competitive Overlap. Both compete in the family entertainment and original content market, offering beloved franchises and exclusive series, with Disney+’s focus on Disney’s extensive content library.
Differentiation. Disney+’s extensive library of iconic franchises and family-friendly content.
Hulu
Description. A subscription-based streaming service known for offering a mix of current TV shows, movies, and original content. Hulu competes with Netflix in the streaming and original programming space.
Key Insights. Hulu provides access to current TV episodes, movies, and original series, directly competing with Netflix in segments like original programming and TV show streaming, targeting viewers looking for up-to-date content.
Competitive Overlap. Both compete in the original programming and TV show streaming market, offering a variety of content, with Hulu’s focus on providing current episodes shortly after they air.
Differentiation. Hulu’s offering of current TV episodes shortly after broadcast.
Apple TV+
Description. A subscription-based streaming service from Apple offering original TV shows, movies, and documentaries. Apple TV+ competes with Netflix in the streaming entertainment and original content sector.
Key Insights. Apple TV+ features exclusive original content, directly competing with Netflix in segments like original series and movies, targeting users interested in high-quality, exclusive productions.
Competitive Overlap. Both compete in the original series and movie market, offering exclusive content, with Apple TV+’s focus on its integration with the Apple ecosystem and high-quality original programming.
Differentiation. Apple TV+’s integration with the Apple ecosystem and high-quality original content.
HBO Max
Description. A streaming service from WarnerMedia offering HBO content, Max Originals, and a wide range of movies and TV shows. HBO Max competes with Netflix in the premium streaming and original programming space.
Key Insights. HBO Max provides access to HBO’s library, Max Originals, and additional content, directly competing with Netflix in segments like premium streaming and original series, targeting subscribers seeking premium entertainment.
Competitive Overlap. Both compete in the premium streaming and original content market, offering premium series and movies, with HBO Max’s focus on combining HBO’s renowned content with Max Originals.
Differentiation. HBO Max’s combination of HBO’s acclaimed content and Max Originals.
Peacock (NBCUniversal)
Description. A streaming service from NBCUniversal offering a mix of movies, TV shows, news, and sports content. Peacock competes with Netflix in the streaming entertainment and live TV space.
Key Insights. Peacock features a diverse library of content, including live TV, directly competing with Netflix in segments like on-demand streaming and live sports, targeting viewers looking for a wide range of entertainment options.
Competitive Overlap. Both compete in the on-demand streaming and live TV market, offering varied content and live sports, with Peacock’s focus on combining on-demand and live streaming.
Differentiation. Peacock’s blend of on-demand streaming and live TV offerings.
Paramount+
Description. A streaming service from ViacomCBS offering content from brands like CBS, Paramount Pictures, and more. Paramount+ competes with Netflix in the streaming entertainment and on-demand content space.
Key Insights. Paramount+ features a collection of content from various ViacomCBS properties, directly competing with Netflix in segments like on-demand streaming and original programming, targeting fans of CBS and ViacomCBS brands.
Competitive Overlap. Both compete in the on-demand streaming and original content market, offering a mix of series and movies, with Paramount+’s focus on leveraging the ViacomCBS content portfolio.
Differentiation. Paramount+’s access to content from ViacomCBS brands.
YouTube Premium
Description. A subscription service from YouTube that offers an ad-free experience, YouTube Originals, and access to YouTube Music. YouTube Premium competes with Netflix in the original programming and ad-free streaming space.
Key Insights. YouTube Premium provides an ad-free experience, original content, and access to YouTube Music, directly competing with Netflix in segments like original programming and ad-free streaming, targeting users who frequent YouTube.
Competitive Overlap. Both compete in the original programming and ad-free streaming market, offering ad-free viewing and original series, with YouTube Premium’s focus on integrating with the YouTube platform and YouTube Music.
Differentiation. YouTube Premium’s integration with the broader YouTube ecosystem.
CBS All Access (Now Paramount+)
Description. A streaming service from ViacomCBS offering CBS content and exclusive originals. CBS All Access (now part of Paramount+) competes with Netflix in the streaming entertainment and CBS content space.
Key Insights. CBS All Access provides CBS programming and exclusive originals, directly competing with Netflix in segments like CBS content streaming and exclusive series, targeting fans of CBS shows and original productions.
Competitive Overlap. Both compete in the CBS content streaming and exclusive series market, offering CBS programming and originals, with CBS All Access’ focus on CBS’s extensive content library.
Differentiation. CBS All Access’ access to CBS programming and exclusive originals.
Vudu (Walmart)
Description. A digital video rental and purchase service that offers a marketplace for buying and renting movies and TV shows. Vudu (owned by Walmart) competes indirectly with Netflix by providing a different business model for accessing content.
Key Insights. Vudu allows users to buy or rent movies and TV shows, offering a different content acquisition model compared to subscription-based services like Netflix, targeting viewers who prefer to purchase or rent specific titles.
Competitive Overlap. Both indirectly compete in the digital content acquisition market, but with different models, as Vudu focuses on a transactional model for content access.
Differentiation. Vudu’s focus on a pay-per-content transactional model.
Key numbersChecked 6 October 2026
$45.2BNetflix reported full-year 2025 revenue of $45.2B, up 16% year over year, with an operating margin of 29.5%.SEC EDGAR filings
$12.6BNetflix's revenue for the second quarter of 2026 was $12.6B, up 13% year over year.SEC EDGAR filings
$51.0Netflix forecasts full-year 2026 revenue of $51.0-$51.4B, which it says represents 13%-14% growth.SEC EDGAR filings
16,000Netflix had approximately 16,000 full-time employees as of December 31, 2025.SEC EDGAR filings
In one lineNetflix is the largest streaming video subscription service in the world.
FourWeekMBABusiness EngineerAt a glance
Netflix is the largest streaming video subscription service in the world.
Netflix crossed 325M paid memberships during the fourth quarter of 2025.
Amazon Prime Video is perhaps the most significant Netflix competitor because the platform has the resources necessary to emulate the Netflix model.
With a back catalog spanning more than 70 years and several major rights acquisitions, Disney+ also enjoys a significant market share.
Layout and figures refreshed 6 October 2026. Sources are listed at the end of the article.
Amazon Prime Video
Prime Video launched in 2006 and has already earned 150 million subscribers in 200 territories globally.
How we source: figures on this page come from the company’s own filings (SEC 10-K, 10-Q and earnings releases, or its annual report), with the period stated next to each number. Last refreshed October 2026. Our methodology.
Company explainer · Netflix, explained
A 3-minute explainer of Netflix's business model and latest numbers, built from its SEC filings. Analysis by The Business Engineer.
The platform is available to exist Amazon Prime users, giving them access to thousands of movies, shows, music, and documentaries.
Like Netflix, Amazon has recently begun producing its own content under the Prime Originals banner.
In emerging economies with poor connectivity, users can download videos to watch offline.
In the U.S., anyone can join Prime for $14.99 per month, or $139 per year if paid annually.
This is significantly cheaper than two of Netflix’s three pricing tiers.
Disney Plus
It would be hard to argue the case for a more recognizable entertainment brand than Disney. Disney is of course synonymous with Walt Disney, but it was Walt and his brother Roy who started the company in 1923 in Burbank, California. Disney content is now broadcast on over 100 channels in 34 different languages across the globe.
Disney Plus offers a wide range of content, including the Star Wars and Marvel franchises, animated masterpieces, and documentaries.
After acquiring Fox in 2019, Disney further expanded their catalog to include classics such as The Simpsons.
Given the longevity of parent company Disney, the streaming service also features content stretching back 70 years.
This gives Disney Plus a certain nostalgia for many viewers that Netflix will find impossible to replicate.
At $6.99/month or $69.99 for a year, Disney Plus is more cost-effective than even the cheapest Netflix plan.
HBO on Demand
HBO has been creating premium content for over 40 years.
However, the company is a relative newcomer to streaming with more than 140 million global streaming subscribers at the end of the first quarter of 2026, according to Warner Bros. Discovery, and a presence in Latin America and Europe.
HBO on Demand is home to some of the most popular shows in recent history.
This includes Doctor Who, Friends, and Game of Thrones.
In 2015, the company launched HBO Now as a direct-to-consumer service with no requirement to subscribe to a cable or satellite system.
HBO Max was launched in 2020, incorporating content from Turner, Warner, and Warner Bros. Pictures.
Hulu
Hulu is a unique Netflix competitor in the sense that it gives consumers access to content right after it has aired on major networks.
In fact, Hulu’s view on demand (VoD) catalog features over 85,000 series episodes.
Hulu has also secured access to the majority of FX channel original content, giving it a slight edge over Netflix.
It also has produced popular original content such as The Handmaid’s Tale.
The company has managed to secure 64.1 million total Hulu paid subscribers at September 27, 2025, according to Disney, second only to Netflix.
This has been achieved through a proactive strategy of discount promotions and the packaging of streaming content with live television.
Key takeaways:
Netflix has revolutionized the video subscriptionmodel and enjoys significant market share as a result. The company has a vast catalog of content which puts it in direct competition with TV networks and producers.
Amazon Prime Video is perhaps the most significant Netflix competitor because the platform has the resources necessary to emulate the Netflix model.
With a back catalog spanning more than 70 years and several major rights acquisitions, Disney+ also enjoys a significant market share.
Key Highlights
Netflix:
Largest streaming video subscription service globally.
Founded in 1997 by Reed Hastings and Marc Randolph.
Over 325M paid memberships as of the fourth quarter of 2025, according to Netflix.
Key success factors: Recommendation system and vast content catalog.
Competes with TV networks and film producers for viewership.
Amazon Prime Video:
Launched in 2006.
150 million subscribers in 200 territories.
Access for Amazon Prime users to movies, shows, music, and documentaries.
Producing original content under the Prime Originals banner.
Offline viewing option in regions with poor connectivity.
In the U.S., Prime costs $14.99 per month or $139 per year if you pay annually.
Disney Plus:
Offers content from Disney, Star Wars, Marvel, and more.
Acquired Fox in 2019, expanding its catalog.
Features content spanning over 70 years.
Subscription costs $6.99 per month or $69.99 per year.
Netflix turns $12.6B of quarterly revenue into $4.2B of operating profit. Source: Netflix Q2 2026 shareholder letter (Form 8-K, SEC). Costs calculated; cost of revenues is mainly content amortisation per Netflix's filings. Analysis by The Business Engineer.
Netflix is a subscription-based business model making money with three simple plans: basic, standard, and premium, giving access to stream series, movies, and shows. Leveraging on a streaming platform, Netflix generated over $33.7 billion in 2023, with an operating income of over $6.95 billion and a net income of over $5.4 billion. Starting in 2013, Netflix started to develop its content under the Netflix Originals brand, which today represents the most important strategic asset for the company that, in 2023, counted over 260 million paying members worldwide.
Binge-watching is the practice of watching TV series all at once. In a speech at the Edinburgh Television Festival in 2013, Kevin Spacey said: “If they want to binge then we should let them binge.” This new content format would be popularized by Netflix, launching its TV series all at once.
Coopetition describes a recently modern phenomenon where organizations both compete and cooperate, which is also known as cooperative competition. A recent example is how the Netflix streaming platform has been among the major customers of Amazon AWS cloud infrastructure, while Amazon Prime has been among the competitors of the Netflix Prime content platform.
Netflix SWOT: global scale and 29% margins, against a slowing home market and the fight for viewing time. Source: Netflix Form 10-K (SEC XBRL) and shareholder letters Q4 2025โQ2 2026 (Form 8-K, SEC); quotes from the letters. Framework: FourWeekMBA / The Business Engineer. Analysis by The Business Engineer.
Netflix's operating margin rose from 4% in 2016 to 29% in 2025. Source: Netflix Form 10-K filings via SEC EDGAR XBRL company facts. Margins calculated. Analysis by The Business Engineer.
Netflix’s largest individual shareholder is Reed Hastings, co-founder, and former CEO of the company, now Chairperson of Netflix, with a 1.76% stake, valued at over $4.5 billion as of January 2024. Other significant individual shareholders comprise Jay C. Hoag, the company’s directors since 1999, and Ted Sarandos, former chief content officer and now Chief Executive Officer of Netflix. Major institutional shareholders comprise The Vanguard Group (7.99% ownership), BlackRock (6.24% ownership), and FMR (5.35% ownership).
In 2023 Netflix had over 260 million paid subscribers. In 2022, Netflix had 230 million paid subscribers and almost 222 million paid subscribers in 2021.
Netflix's revenue reached $45.2B in 2025, 5.1x its 2016 level. Source: Netflix Form 10-K filings via SEC EDGAR XBRL company facts. Analysis by The Business Engineer.
Netflix reported an average yearly revenue per subscriber of $139.68 in 2023, compared to $141.12 in 2022. Thus, Netflix had an average revenue per subscriber of $120 in 2019 (pre-COVID) and $139.68 by 2023.
In 2023, Netflix reported an average monthly revenue per subscriber of $16.28 in the US & Canada, $10.87 in EMEA, $7.64 in APAC, and $8.66 in the LATAM region. Thus, the US & Canada reported the highest average monthly revenue per subscriber of $16.28.
In 2022, The Walt Disney Company’s total paid subscriber base was larger than Netlfix, with over 235 million paid members, compared with Netflix’s over 230 million members. However, Disney’s offering is fragmented among Disney+, ESPN+, and Hulu, compared with Netflix, which has a single offering.
How AI Is Changing This
Netflix competitors are leveraging AI to differentiate themselves and capture market share through innovative content discovery and personalization features. Disney+ has implemented AI-powered “GroupWatch” recommendations that analyze viewing patterns of multiple users simultaneously to suggest content that appeals to diverse family preferences during shared viewing sessions. This AI system considers factors like age ratings, genre preferences across different family members, and optimal viewing times to create curated family-friendly recommendations. Meanwhile, Amazon Prime Video uses machine learning to integrate viewing data with broader Amazon purchase history, suggesting movies and shows based on products customers buy or browse. HBO Max employs AI to create dynamic mood-based collections that automatically update content groupings like “Comfort Food TV” or “Rainy Day Movies” based on real-time analysis of user engagement patterns and external factors like weather data and trending social media topics.
Outside the US and Canada, Netflix now makes 57% of its revenue. Source: Netflix shareholder letters (Form 8-K, SEC EDGAR) (regional breakdown tables); regions sum to reported revenue. Analysis by The Business Engineer.
Gennaro Cuofano is a CRO and tech executive who has worked in AI since late 2015, starting with bringing NLP, natural-language generation, voice and chatbot products to the marketing industry. His background is in law and finance: he holds a Master's degree in Law and an International MBA with an emphasis on corporate finance (LUISS Business School and the University of San Diego, 2012), and worked as a financial analyst at a real-estate investment firm in San Diego and as an assistant controller. His work focuses on business model strategy, business engineering and, more broadly, structural analysis: how companies make money, read from their own filings. He created FourWeekMBA and leads research there and at The Business Engineer, his newsletter on AI and business strategy, with over 95,000 subscribers and more than 1,000 published analyses. His writing has also appeared on Entrepreneur (for example, How to Digitize a Family Business in Europe) and HackerNoon. Find him on LinkedIn and Substack. See how we source.
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