Netflix is under fire as subscription cancellations surged in the United States following a sizable political donation by co-founder Reed Hastings. The billionaire entrepreneur recently disclosed that he had donated $7 million to support Vice President Kamala Harris’ presidential campaign, a move that stirred significant backlash from certain conservative groups. Hastings’ public endorsement and financial backing of Harris drew immediate criticism, with many customers pledging to cancel their Netflix subscriptions.
According to a Bloomberg report, the rate of Netflix cancellations nearly tripled after Hastings’ announcement. The study, conducted by research firm Antenna, revealed that Hastings’ donation triggered a significant response, particularly among supporters of former President Donald Trump. On social media platform X, many called for a boycott of the streaming giant, with users voicing frustration over Hastings’ political stance and encouraging fellow conservatives to cancel their subscriptions.
One of the largest waves of cancellations occurred just three days after Hastings’ contribution was made public. July 26 reportedly marked the worst single day for Netflix cancellations in 2024, following news of the donation. This period saw a sharp rise in subscription terminations, with many pointing to the endorsement as the catalyst.
Beyond the political fallout, Netflix had already been facing a challenging summer. In July, the company announced plans to phase out its cheapest subscription option, which had been a popular choice among budget-conscious consumers. While this decision sparked controversy and was likely responsible for some of the cancellations, the timing of Hastings’ donation amplified the situation, making it one of the most turbulent months for the streaming platform.
Hastings’ hefty contribution to a Harris super PAC may have solidified his political stance, but it clearly had consequences for Netflix’s bottom line. The conservative pushback illustrates a growing divide in consumer behavior, where political donations and corporate actions are increasingly influencing purchasing decisions.
With more viewers canceling and competition in the streaming market intensifying, Netflix faces pressure to regain its footing. Whether the company can weather the storm of political and financial criticism remains to be seen.
