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Netflix Chief Product Officer Eunice Kim to Depart, CTO Steps In

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Netflix announced Wednesday that Eunice Kim, its chief product officer since 2023, will leave the company. Chief Technology Officer Elizabeth Stone will assume the role on an interim basis.

Kim, who joined Netflix in 2021, led the consumer product innovation team and played a key role in reshaping the platform’s connected-TV interface, unveiled in May to simplify navigation and improve user experience. She also contributed to major growth initiatives such as Netflix’s ad-supported plan, helping the company grow its membership from 200 million to over 300 million subscribers during her tenure.

“Over the past five years, we grew the business together… by successfully launching and scaling many major growth initiatives, including the ads plan,” Kim reflected in a statement.

Before joining Netflix, Kim held senior product roles at Google Play and YouTube.

Netflix continues to perform strongly, beating second-quarter earnings expectations and raising its annual revenue guidance in July, though much of the forecast boost came from currency tailwinds rather than stronger demand. The company is pushing into advertising as a way to attract price-sensitive customers, though it has said ads won’t be a primary revenue driver this year.

The streamer has also moved into live programming, including WWE wrestling, as part of its strategy to diversify content and expand its audience base.

StubHub Targets $9.2B Valuation in U.S. IPO Amid Live Events Boom

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StubHub, the ticket resale platform backed by Madrone Partners, is seeking a valuation of up to $9.2 billion in its planned U.S. IPO, the company said Monday. The listing comes after being postponed in April due to tariff uncertainty, making StubHub one of the latest firms to return to equity markets following improved sentiment.

The New York-based firm aims to raise up to $851 million by selling 34 million shares at a price range of $22 to $25 each, with J.P. Morgan and Goldman Sachs leading the underwriting. Shares will trade on the NYSE under the ticker “STUB.”

StubHub has had a winding ownership history: founded in 2000 by Jeff Fluhr and Eric Baker (now CEO), it was sold to eBay in 2007 for $310M before being acquired by Baker’s other venture viagogo for $4.05B in 2020. The company was once valued at $16.5B in 2021, though its current IPO target is well below that.

Despite cautious pricing, some investors suggest the IPO may price higher, given strong demand for live events. Rival Live Nation’s Ticketmaster has seen record ticketing volumes driven by blockbuster tours such as Beyoncé’s “Cowboy Carter.” StubHub’s own revenue rose 3% to $827.9M in the first half of 2024, though net losses more than doubled to $111.8M.

The IPO will test investor appetite for consumer-focused platforms in a market dominated by tech and crypto listings. As IPO strategist Matt Kennedy put it: “The bankers will also try to sell the deal on its valuation, which is below prior expectations.”

If successful, StubHub could capture investor enthusiasm for the booming experience economy, even as regulatory and competitive pressures linger in the ticketing industry.

Netflix Tops Subscriber Targets as Ad-Tier Signups Surge

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Netflix added 5.1 million new streaming subscribers in the third quarter of 2024, surpassing Wall Street expectations by over 1 million. This growth came largely from its ad-supported tier, which contributed to more than half of the new signups in countries where it is available. As a result, Netflix shares jumped 4.8% in after-hours trading, continuing their 47% rise for the year.

Despite the success in subscriber growth, Netflix is focusing more on revenue growth and profit margins. The company plans to stop reporting subscriber data next year, reflecting its shift toward emphasizing other financial metrics. Revenue for the quarter reached $9.825 billion, slightly ahead of projections, and Netflix’s earnings per share hit $5.40, exceeding the forecast of $5.12. Operating margins also saw significant growth, reaching 30% compared to 22% a year ago.

While the 5.1 million subscriber gain outpaced expectations, it was still a drop from the 8.76 million added in the same quarter last year. This has raised some concerns, particularly about Netflix’s domestic market, which some analysts believe may be nearing saturation. Forrester analyst Mike Proulx noted that while international growth opportunities remain, the U.S. market seems “tapped out.”

Looking ahead, Netflix is optimistic about the holiday season, anticipating even higher subscriber growth in the final quarter, driven by the much-anticipated return of the hit Korean drama Squid Game in late December. Co-CEO Ted Sarandos expressed confidence, stating, “We had a plan to re-accelerate the business, and we delivered on that plan.”

In addition to programming, Netflix has been expanding its live-event offerings, which are a key draw for advertisers. Upcoming events include a fight between YouTube star Jake Paul and boxing legend Mike Tyson, along with two NFL games scheduled for Christmas Day. These live events are part of a broader strategy to diversify its content and attract advertisers, though the company doesn’t expect advertising to be a major revenue driver until 2026.

Despite its success with the ad-supported tier, Netflix is maintaining its standalone approach in the streaming market. Sarandos reaffirmed that the company has no intention of bundling its service with other platforms like Disney+ or Warner Bros Discovery, preferring to focus on building its own value proposition.

Meanwhile, Netflix continues to adjust pricing strategies in key international markets. After raising prices in several European countries and Japan earlier this month, it will further increase prices in Spain and Italy this week.