Netflix Adds More Than 10 Million New Subscribers

Ted Sarandos has been just named co-chief executive officer at Netflix and already he faces a difficult task: Soothing investor anxiety about slowing growth at the video-streaming giant.

The firm tapped its longtime chief content officer to take the top job, alongside current CEO Reed Hastings, on a day when it delivered a disappointing subscriber forecast and sent its shares plunging as much as 15 per cent in late trading. They recovered slightly, but were still down 7.77 per cent during early trade in New York on Friday.

The world’s largest paid streaming service expects to sign up 2.5 million new subscribers in the third quarter, compared with the more than 5 million expected on Wall Street.