Netflix CEO Reed Hastings to consumers: Screw you. Pay us 60% more. The bargain basement movie provider, which has helped so many working families make ends meet, stuck its finger in everyone’s collective eye Tuesday by raising prices 60% in one fell swoop.
Predictably, the stock market loves it. Netflix’s stock price has already surged $1.90 a share. They love greed on Wall Street.
This is just further evidence that when working people patronize a publicly traded company, they are neither viewed as customer nor treated like customers. Instead, we are treated like employees. Netflix’s real customers are people who buy stock.
Had Netflix been a nonprofit or a privately held company this price hike probably would not have been so precipitous. On the flip side, Hastings just missed a chance to grow profits steadily quarter after quarter for years on end by raising prices so much all at once. That’s dumb greed, as opposed to smart greed.