Netflix to reach 17m international subs by end of year

Netflix is expected to reach 17 million international paying subscribers by the end of the year, according to Digital TV Research, bolstered by its launch in six European countries during September.

The figures do not include subscribers to the US service who are based abroad, which are excluded through the use of unblocker software, VPNs and DNS proxies.

Following the adjustment of previous estimates, Digital TV Research said that subscriber numbers are now a lot higher in Latin America and a lot lower in the UK.

“We underestimated Latin America last time due to the historic payment problems that Netflix encountered (low credit card ownership; little electronic banking; low broadband penetration etc),” said the company’s principal analyst, Simon Murray.

“Netflix has introduced simpler payment methods (such as prepaid cards) which has boosted take up. However, economic slowdown is expected in the region, especially in Argentina and Venezuela, which could hit Netflix take-up.”

Netflix has announced plans to launch in Australia and New Zealand next March; however, more than 200,000 Australian homes already subscribe to the US service.