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Netflix &...Broke? Streaming service in billion dollar debt

UNDER PRESSURE: Netflix

NETFLIX & CHILL may become a thing of the past, as new reports reveal that the streaming service is in major debt.

According to the LA Times Netflix's streaming service debt is $15.7 billion – however, a Netflix representative reached out to Vibe Magazine and confirmed that their total gross debt is $4.8 billion; it’s equity market value is roughly $75 billion.

The company’s stock is reportedly up by 50 percent for the year, but some experts fear that the debt could keep piling on. Although the company has increased its user base to 104 million global subscribers, it's under increasing pressure from rivals such as Hulu, HBO and Amazon.

“The company is pouring money into expensive prestige projects and expects to spend at least $6 billion in content this year,” according to the LA Times’ report. Netflix’s excessive spending is known to many, most evidently in their original series The Get Down, which was cancelled in relation to its production costs.

Despite these financial woes, Netflix still continues to dominate. One of their most popular shows Stranger Things returns for season two in October, and they've just scooped a record 93 nominations at the 2017 Emmys.

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