NETFLIX INC, 10-Q filed on 4/21/2023
Quarterly Report
v3.23.1
Cover Page
 3 Months Ended
Mar. 31, 2023
shares
Cover [Abstract]  
Document Type 10-Q
Document Quarterly Report true
Document Period End Date Mar. 31, 2023
Document Transition Report false
Entity File Number 001-35727
Entity Registrant Name Netflix, Inc.
Entity Incorporation, State or Country Code DE
Entity Tax Identification Number 77-0467272
Entity Address, Address Line One 121 Albright Way,
Entity Address, City or Town Los Gatos,
Entity Address, State or Province CA
Entity Address, Postal Zip Code 95032
City Area Code 408
Local Phone Number 540-3700
Title of 12(b) Security Common stock, par value $0.001 per share
Trading Symbol NFLX
Security Exchange Name NASDAQ
Entity Current Reporting Status Yes
Entity Interactive Data Current Yes
Entity Filer Category Large Accelerated Filer
Entity Small Business false
Entity Emerging Growth Company false
Entity Shell Company false
Entity Common Stock, Shares Outstanding 444,536,878
Entity Central Index Key 0001065280
Document Fiscal Year Focus 2023
Document Fiscal Period Focus Q1
Amendment Flag false
Current Fiscal Year End Date --12-31
v3.23.1
Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Income Statement [Abstract]    
Revenues $ 8,161,503 $ 7,867,767
Cost of revenues 4,803,625 4,284,705
Marketing 555,362 555,978
Technology and development 687,275 657,530
General and administrative 400,924 397,928
Operating income 1,714,317 1,971,626
Other income (expense):    
Interest expense (174,239) (187,579)
Interest and other income (expense) (71,204) 195,645
Income before income taxes 1,468,874 1,979,692
Provision for income taxes (163,754) (382,245)
Net income $ 1,305,120 $ 1,597,447
Earnings per share:    
Basic (in USD per share) $ 2.93 $ 3.60
Diluted (in USD per share) $ 2.88 $ 3.53
Weighted-average shares of common stock outstanding:    
Basic (in shares) 445,244 444,146
Diluted (in shares) 452,417 452,984
v3.23.1
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Statement of Comprehensive Income [Abstract]    
Net income $ 1,305,120 $ 1,597,447
Other comprehensive income (loss):    
Foreign currency translation adjustments 25,611 (33,675)
Comprehensive income $ 1,330,731 $ 1,563,772
v3.23.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Cash flows from operating activities:    
Net income $ 1,305,120 $ 1,597,447
Adjustments to reconcile net income to net cash provided by operating activities:    
Additions to content assets (2,458,666) (3,584,164)
Change in content liabilities (354,791) (347,149)
Amortization of content assets 3,459,984 3,166,365
Depreciation and amortization of property, equipment and intangibles 90,335 74,602
Stock-based compensation expense 99,099 119,209
Foreign currency remeasurement loss (gain) on debt 80,651 (161,821)
Other non-cash items 120,008 101,968
Deferred income taxes (98,782) (68,906)
Changes in operating assets and liabilities:    
Other current assets (88,522) 41,157
Accounts payable (89,668) (215,444)
Accrued expenses and other liabilities 185,299 350,763
Deferred revenue (2,390) 16,743
Other non-current assets and liabilities (68,937) (167,931)
Net cash provided by operating activities 2,178,740 922,839
Cash flows from investing activities:    
Purchases of property and equipment (62,019) (121,158)
Acquisitions 0 (124,521)
Purchases of short-term investments (201,634) 0
Net cash used in investing activities (263,653) (245,679)
Cash flows from financing activities:    
Repayments of debt 0 (700,000)
Proceeds from issuance of common stock 26,028 13,678
Repurchases of common stock (400,101) 0
Net cash used in financing activities (374,073) (686,322)
Effect of exchange rate changes on cash, cash equivalents and restricted cash 26,423 (11,448)
Net increase (decrease) in cash, cash equivalents and restricted cash 1,567,437 (20,610)
Cash, cash equivalents and restricted cash at beginning of period 5,170,582 6,055,111
Cash, cash equivalents and restricted cash at end of period $ 6,738,019 $ 6,034,501
v3.23.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Current assets:    
Cash and cash equivalents $ 6,714,594 $ 5,147,176
Short-term investments 1,112,910 911,276
Other current assets 2,655,119 3,208,021
Total current assets 10,482,623 9,266,473
Content assets, net 32,349,184 32,736,713
Property and equipment, net 1,413,094 1,398,257
Other non-current assets 5,245,444 5,193,325
Total assets 49,490,345 48,594,768
Current liabilities:    
Current content liabilities 4,344,580 4,480,150
Accounts payable 591,987 671,513
Accrued expenses and other liabilities 1,718,069 1,514,650
Deferred revenue 1,262,271 1,264,661
Short-term debt 399,163 0
Total current liabilities 8,316,070 7,930,974
Non-current content liabilities 2,908,029 3,081,277
Long-term debt 14,037,965 14,353,076
Other non-current liabilities 2,400,085 2,452,040
Total liabilities 27,662,149 27,817,367
Commitments and contingencies (Note 7)
Stockholders’ equity:    
Common stock, $0.001 par value; 4,990,000,000 shares authorized at March 31, 2023 and December 31, 2022; 444,536,878 and 445,346,776 issued and outstanding at March 31, 2023 and December 31, 2022, respectively 4,762,395 4,637,601
Treasury stock at cost (2,786,534 and 1,564,478 shares at March 31, 2023 and December 31, 2022, respectively) (1,228,920) (824,190)
Accumulated other comprehensive loss (191,695) (217,306)
Retained earnings 18,486,416 17,181,296
Total stockholders’ equity 21,828,196 20,777,401
Total liabilities and stockholders’ equity $ 49,490,345 $ 48,594,768
v3.23.1
Consolidated Balance Sheets (Parenthetical) - $ / shares
Mar. 31, 2023
Dec. 31, 2022
Statement of Financial Position [Abstract]    
Common stock, par value (in USD per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 4,990,000,000 4,990,000,000
Common stock, shares issued (in shares) 444,536,878 445,346,776
Common stock, shares outstanding (in shares) 444,536,878 445,346,776
Treasury stock (in shares) 2,786,534 1,564,478
v3.23.1
Consolidated Statements of Stockholders' Equity - USD ($)
$ in Thousands
Total
Common stock and additional paid-in capital
Treasury stock
Accumulated other comprehensive loss
Retained earnings
Beginning Balance at Dec. 31, 2021 $ 15,849,248 $ 4,024,561 $ (824,190) $ (40,495) $ 12,689,372
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Issuance of common stock upon exercise of options   11,810      
Stock-based compensation expense   119,209      
Other comprehensive income (loss)       (33,675)  
Net income 1,597,447       1,597,447
Ending Balance at Mar. 31, 2022 17,544,039 4,155,580 (824,190) (74,170) 14,286,819
Beginning Balance at Dec. 31, 2022 20,777,401 4,637,601 (824,190) (217,306) 17,181,296
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Issuance of common stock upon exercise of options   25,695      
Stock-based compensation expense   99,099      
Repurchases of common stock to be held as treasury stock (400,000)   (404,730)    
Other comprehensive income (loss)       25,611  
Net income 1,305,120       1,305,120
Ending Balance at Mar. 31, 2023 $ 21,828,196 $ 4,762,395 $ (1,228,920) $ (191,695) $ 18,486,416
v3.23.1
Basis of Presentation and Summary of Significant Accounting Policies
 3 Months Ended
Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation and Summary of Significant Accounting Policies
The accompanying interim consolidated financial statements of Netflix, Inc. and its wholly owned subsidiaries (the “Company”) have been prepared in conformity with accounting principles generally accepted in the United States (“U.S.”) and are consistent in all material respects with those applied in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 filed with the Securities and Exchange Commission (the “SEC”) on January 26, 2023. The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include the amortization of content assets and the recognition and measurement of income tax assets and liabilities. The Company bases its estimates on historical experience and on various other assumptions that the Company believes to be reasonable under the circumstances. On a regular basis, the Company evaluates the assumptions, judgments and estimates. Actual results may differ from these estimates.
The interim financial information is unaudited, but reflects all normal recurring adjustments that are, in the opinion of management, necessary to fairly present the information set forth herein. The interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Interim results are not necessarily indicative of the results for a full year.
There have been no material changes in the Company’s significant accounting policies as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.
v3.23.1
Revenue Recognition
 3 Months Ended
Mar. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The Company's primary source of revenues is from monthly membership fees. Members are billed in advance of the start of their monthly membership and revenues are recognized ratably over each monthly membership period. Revenues are presented net of the taxes that are collected from members and remitted to governmental authorities. The Company is the principal in all its relationships where partners, including consumer electronics (“CE”) manufacturers, multichannel video programming distributors (“MVPDs”), mobile operators and internet service providers (“ISPs”), provide access to the service as the Company retains control over service delivery to its members. Typically, payments made to the partners, such as for marketing, are expensed. However, if there is no distinct service provided in exchange for the payments made to the partners or if the price that the member pays is established by the partners and there is no standalone price for the Netflix service (for instance, in a bundle), these payments are recognized as a reduction of revenues.
The following tables summarize revenues, paid net membership additions, and ending paid memberships by region for the three months ended March 31, 2023 and March 31, 2022, respectively:

United States and Canada (UCAN)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$3,608,645 $3,350,424 
Paid net membership additions (losses)102 (636)
Paid memberships at end of period (1)74,398 74,579 

Europe, Middle East, and Africa (EMEA)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$2,517,641 $2,561,831 
Paid net membership additions (losses)644 (303)
Paid memberships at end of period (1)77,373 73,733 

Latin America (LATAM)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$1,070,192 $998,948 
Paid net membership additions (losses)(450)(351)
Paid memberships at end of period (1)41,249 39,610 

Asia-Pacific (APAC)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$933,523 $916,754 
Paid net membership additions (losses)1,455 1,087 
Paid memberships at end of period (1)39,478 33,719 
(1) A paid membership (also referred to as a paid subscription) is defined as a membership that has the right to receive Netflix service following sign-up and a method of payment being provided, and that is not part of a free trial or certain other promotions that may be offered by the Company to new or rejoining members. Certain members have the option to add extra member sub accounts. These extra member sub accounts are not included in paid memberships. A membership is canceled and ceases to be reflected in the above metrics as of the effective cancellation date. Voluntary cancellations generally become effective at the end of the prepaid membership period. Involuntary cancellations, as a result of a failed method of payment, become effective immediately. Memberships are assigned to territories based on the geographic location used at time of sign-up as determined by the Company’s internal systems, which utilize industry standard geo-location technology.
Total U.S. revenues, inclusive of DVD revenues not reported in the tables above, were $3.3 billion and $3.1 billion for the three months ended March 31, 2023 and 2022, respectively. DVD revenues were $32 million and $40 million for the three months ended March 31, 2023 and 2022, respectively.
Deferred revenue consists of membership fees billed that have not been recognized, as well as gift cards and other prepaid memberships that have not been fully redeemed. As of March 31, 2023, total deferred revenue was $1,262 million, the vast majority of which was related to membership fees billed that are expected to be recognized as revenue within the next month. The remaining deferred revenue balance, which is related to gift cards and other prepaid memberships, will be recognized as revenue over the period of service after redemption, which is expected to occur over the next 12 months. Total deferred revenue as of March 31, 2023 remained relatively flat as compared to the balance of $1,265 million as of December 31, 2022.
v3.23.1
Earnings Per Share
 3 Months Ended
Mar. 31, 2023
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
Basic earnings per share is computed using the weighted-average number of outstanding shares of common stock during the period. Diluted earnings per share is computed using the weighted-average number of outstanding shares of common stock and, when dilutive, potential outstanding shares of common stock during the period. Potential shares of common stock consist of incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands, except per share data)
Basic earnings per share:
Net income
$1,305,120 $1,597,447 
Shares used in computation:
Weighted-average shares of common stock outstanding445,244 444,146 
Basic earnings per share$2.93 $3.60 
Diluted earnings per share:
Net income
$1,305,120 $1,597,447 
Shares used in computation:
Weighted-average shares of common stock outstanding445,244 444,146 
Employee stock options7,173 8,838 
Weighted-average number of shares
452,417 452,984 
Diluted earnings per share$2.88 $3.53 

Employee stock options with exercise prices greater than the average market price of the common stock were excluded from the diluted calculation as their inclusion would have been anti-dilutive. The following table summarizes the potential shares of common stock excluded from the diluted calculation:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Employee stock options5,847 2,749 
v3.23.1
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments
 3 Months Ended
Mar. 31, 2023
Short-Term Investments And Fair Value Measurement [Abstract]  
Cash, Cash Equivalents, Restricted Cash, and Short-term Investm Cash, Cash Equivalents, Restricted Cash, and Short-term Investments
The Company’s investment policy is consistent with the definition of available-for-sale securities. The Company does not buy and hold securities principally for the purpose of selling them in the near future. The Company’s policy is focused on the preservation of capital, liquidity and return. From time to time, the Company may sell certain securities but the objectives are generally not to generate profits on short-term differences in price. The following tables summarize the Company's cash, cash equivalents, restricted cash and short-term investments as of March 31, 2023 and December 31, 2022:

 As of March 31, 2023
 Cash and cash equivalentsShort-term investmentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$3,787,630 $— $3,889 $19,483 $3,811,002 
Level 1 securities:
Money market funds2,561,649 — — 53 $2,561,702 
Level 2 securities:
Time Deposits (1)365,315 1,112,910 — — $1,478,225 
$6,714,594 $1,112,910 $3,889 $19,536 $7,850,929 


 As of December 31, 2022
 Cash and cash equivalentsShort-term investmentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$4,071,584 $— $3,410 $19,874 $4,094,868 
Level 1 securities:
Money market funds569,826 — — 122 569,948 
Level 2 securities:
Time Deposits (1)505,766 911,276 — — 1,417,042 
$5,147,176 $911,276 $3,410 $19,996 $6,081,858 
(1) The majority of the Company's time deposits are domestic deposits, which mature within one year.
Other current assets include restricted cash for deposits related to self insurance and letter of credit agreements. Non-current assets include restricted cash related to letter of credit agreements. The fair value of cash equivalents and short-term investments included in the Level 2 category is based on observable inputs, such as quoted prices for similar assets at the measurement date; quoted prices in markets that are not active; or other inputs that are observable, either directly or indirectly.
See Note 6 Debt to the consolidated financial statements for further information regarding the fair value of the Company’s senior notes.
There were no material gross realized gains or losses in the three months ended March 31, 2023 and 2022, respectively.
v3.23.1
Balance Sheet Components
 3 Months Ended
Mar. 31, 2023
Balance Sheet Components Disclosure [Abstract]  
Balance Sheet Components Balance Sheet Components
Content Assets, Net
Content assets consisted of the following:
As of
March 31,
2023		December 31,
2022
(in thousands)
Licensed content, net
$12,533,388 $12,732,549 
Produced content, net
Released, less amortization
9,306,337 9,110,518 
In production
9,872,138 10,255,940 
In development and pre-production
637,321 637,706 
19,815,796 20,004,164 

Content assets, net
$32,349,184 $32,736,713 

As of March 31, 2023, approximately $5,430 million, $2,781 million, and $1,952 million of the $12,533 million unamortized cost of the licensed content is expected to be amortized in each of the next three years.  As of March 31, 2023, approximately $3,553 million, $2,393 million, and $1,692 million of the $9,306 million unamortized cost of the produced content that has been released is expected to be amortized in each of the next three years.
As of March 31, 2023, the amount of accrued participations and residuals was not material.
The following table represents the amortization of content assets:
Three Months Ended
 March 31,
2023		March 31,
2022
(in thousands)
Licensed content$1,723,678 $1,884,438 
Produced content1,736,306 1,281,927 
Total$3,459,984 $3,166,365 
Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of
March 31,
2023		December 31,
2022		Estimated Useful Lives
(in thousands)
Land
$86,452 $85,005 
Buildings
60,420 52,106 30 years
Leasehold improvements
1,050,836 1,040,570 Over life of lease
Furniture and fixtures
153,836 153,682 
3 years
Information technology
443,073 442,681 3 years
Corporate aircraft
115,578 115,578 
8-10 years
Machinery and equipment
27,068 26,821 
3-5 years
Capital work-in-progress
284,181 235,555 
Property and equipment, gross
2,221,444 2,151,998 
Less: Accumulated depreciation
(808,350)(753,741)
Property and equipment, net
$1,413,094 $1,398,257 


Leases
The Company has entered into operating leases primarily for real estate. Operating leases are included in "Other non-current assets" on the Company's Consolidated Balance Sheets, and represent the Company’s right to use the underlying asset for the lease term. The Company’s obligations to make lease payments are included in "Accrued expenses and other liabilities" and "Other non-current liabilities" on the Company's Consolidated Balance Sheets.
Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Cash paid for operating lease liabilities$113,407 $103,141 
Right-of-use assets obtained in exchange for new operating lease obligations20,894 141,298 

As of
March 31,
2023		December 31,
2022
(in thousands)
Operating lease right-of-use assets, net$2,175,020 $2,227,122 
Current operating lease liabilities363,304 355,985 
Non-current operating lease liabilities2,155,415 2,222,503 
Total operating lease liabilities$2,518,719 $2,578,488 
Other Current Assets
Other current assets consisted of the following:
As of
March 31,
2023		December 31,
2022
(in thousands)
Trade receivables
$1,025,509 $988,898 
Prepaid expenses
485,997 392,735 
Other
1,143,613 1,826,388 
Total other current assets
$2,655,119 $3,208,021 
The decrease in Other was primarily driven by receipt of amounts due under a modified content licensing arrangement.
v3.23.1
Debt
 3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
Debt Debt
As of March 31, 2023, the Company had aggregate outstanding notes of $14,437 million, net of $76 million of issuance costs, with varying maturities (the "Notes"). Of the outstanding balance, $399 million, net of issuance costs, is classified as short-term debt on the Consolidated Balance Sheets. As of December 31, 2022, the Company had aggregate outstanding notes of $14,353 million, net of $79 million of issuance costs. Each of the Notes were issued at par and are senior unsecured obligations of the Company. Interest is payable semi-annually at fixed rates. A portion of the outstanding Notes is denominated in foreign currency (comprised of €5,170 million) and is remeasured into U.S. dollars at each balance sheet date (with remeasurement loss totaling $81 million for the three months ended March 31, 2023).
The following table provides a summary of the Company's outstanding debt and the fair values based on quoted market prices in less active markets as of March 31, 2023 and December 31, 2022:
Principal Amount at ParLevel 2 Fair Value as of
March 31,
2023		December 31,
2022		Issuance DateMaturityMarch 31,
2023		December 31,
2022
(in millions)(in millions)
5.750% Senior Notes
$400 $400 February 2014March 2024$404 $404 
5.875% Senior Notes
800 800 February 2015February 2025817 811 
3.000% Senior Notes (1)
510 503 April 2020June 2025503 495 
3.625% Senior Notes
500 500 April 2020June 2025487 479 
4.375% Senior Notes
1,000 1,000 October 2016November 2026991 980 
3.625% Senior Notes (1)
1,412 1,391 May 2017May 20271,403 1,338 
4.875% Senior Notes
1,600 1,600 October 2017April 20281,610 1,557 
5.875% Senior Notes
1,900 1,900 April 2018November 20282,002 1,930 
4.625% Senior Notes (1)
1,194 1,177 October 2018May 20291,222 1,151 
6.375% Senior Notes
800 800 October 2018May 2029862 830 
3.875% Senior Notes (1)
1,303 1,284 April 2019November 20291,283 1,201 
5.375% Senior Notes
900 900 April 2019November 2029917 885 
3.625% Senior Notes (1)
1,194 1,177 October 2019June 20301,153 1,078 
4.875% Senior Notes
1,000 1,000 October 2019June 2030998 944 
$14,513 $14,432 $14,652 $14,083 
(1) The following Senior Notes have a principal amount denominated in euro: 3.000% Senior Notes for €470 million, 3.625% Senior Notes for €1,300 million, 4.625% Senior Notes for €1,100 million, 3.875% Senior Notes for €1,200 million, and 3.625% Senior Notes for €1,100 million.
Each of the Notes are repayable in whole or in part upon the occurrence of a change of control, at the option of the holders, at a purchase price in cash equal to 101% of the principal plus accrued interest. The Company may redeem the Notes prior to maturity in whole or in part at an amount equal to the principal amount thereof plus accrued and unpaid interest and an applicable premium. The Notes include, among other terms and conditions, limitations on the Company's ability to create, incur or allow certain liens; enter into sale and lease-back transactions; create, assume, incur or guarantee additional indebtedness of certain of the Company's subsidiaries; and consolidate or merge with, or convey, transfer or lease all or substantially all of the Company's and its subsidiaries assets, to another person. As of March 31, 2023 and December 31, 2022, the Company was in compliance with all related covenants.
Revolving Credit Facility
On March 6, 2023, the Company amended its $1 billion unsecured revolving credit facility ("Revolving Credit Agreement") to replace the London interbank offered rate to a variable secured overnight financing rate (the “Term SOFR Rate”) as the rate to which interest payments are indexed, among other things. The Revolving Credit Agreement matures on June 17, 2026. Revolving loans may be borrowed, repaid and reborrowed until June 17, 2026, at which time all amounts borrowed must be repaid. The Company may use the proceeds of future borrowings under the Revolving Credit Agreement for working capital and general corporate purposes. As of March 31, 2023, no amounts have been borrowed under the Revolving Credit Agreement.
The borrowings under the Revolving Credit Agreement bear interest, at the Company’s option, of either (i) a floating rate equal to a base rate (the “Alternate Base Rate”) or (ii) a rate equal to the Term SOFR Rate (or the applicable benchmark replacement), plus a margin of 0.75%. The Alternate Base Rate is defined as the greatest of (A) the rate of interest published by the Wall Street Journal, from time to time, as the prime rate, (B) the federal funds rate, plus 0.500% and (C) the Term SOFR Rate for a one-month tenor, plus 1.00%. The Term SOFR Rate is the forward-looking secured overnight financing rate administered by the Federal Reserve Bank of New York or a successor administrator, for the relevant interest period, but in no event shall the Term SOFR Rate be less than 0.00% per annum.
The Company is also obligated to pay a commitment fee on the undrawn amounts of the Revolving Credit Agreement at an annual rate of 0.10%. The Revolving Credit Agreement requires the Company to comply with certain covenants, including covenants that limit or restrict the ability of the Company’s subsidiaries to incur debt and limit or restrict the ability of the Company and its subsidiaries to grant liens and enter into sale and leaseback transactions; and, in the case of the Company or a guarantor, merge, consolidate, liquidate, dissolve or sell, transfer, lease or otherwise dispose of all or substantially all of the assets of the Company and its subsidiaries, taken as a whole. As of March 31, 2023 and December 31, 2022, the Company was in compliance with all related covenants.
v3.23.1
Commitments and Contingencies
 3 Months Ended
Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Content
As of March 31, 2023, the Company had $21.5 billion of obligations comprised of $4.3 billion included in "Current content liabilities" and $2.9 billion of "Non-current content liabilities" on the Consolidated Balance Sheets and $14.3 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not yet meet the criteria for asset recognition.
As of December 31, 2022, the Company had $21.8 billion of obligations comprised of $4.5 billion included in "Current content liabilities" and $3.1 billion of "Non-current content liabilities" on the Consolidated Balance Sheets and $14.2 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not yet meet the criteria for asset recognition.
The expected timing of payments for these content obligations is as follows:
As of 
March 31,
2023		December 31,
2022
(in thousands)
Less than one year
$9,771,665 $10,038,483 
Due after one year and through three years
9,536,111 9,425,551 
Due after three years and through five years
1,964,812 2,124,307 
Due after five years
253,283 243,606 
Total content obligations
$21,525,871 $21,831,947 
Content obligations include amounts related to the acquisition, licensing and production of content. Obligations that are in non-U.S. dollar currencies are translated to the U.S. dollar at period end rates. An obligation for the production of content includes non-cancelable commitments under creative talent and employment agreements as well as other production related commitments. An obligation for the acquisition and licensing of content is incurred at the time the Company enters into an agreement to obtain future titles. Once a title becomes available, a content liability is recorded on the Consolidated Balance Sheets. Certain agreements include the obligation to license rights for unknown future titles, the ultimate quantity and/or fees for which are not yet determinable as of the reporting date. Traditional film output deals, or certain TV series license agreements where the number of seasons to be aired is unknown, are examples of such license agreements. The Company does not include any estimated obligation for these future titles beyond the known minimum amount. However, the unknown obligations are expected to be significant.
Legal Proceedings
From time to time, in the normal course of its operations, the Company is subject to litigation matters and claims, including claims relating to employee relations, business practices and patent infringement. Litigation can be expensive and disruptive to normal business operations. Moreover, the results of complex legal proceedings are difficult to predict and the Company's view of these matters may change in the future as the litigation and events related thereto unfold. The Company expenses legal fees as incurred. The Company records a provision for contingent losses when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. An unfavorable outcome to any legal matter, if material, could have an adverse effect on the Company's operations or its financial position, liquidity or results of operations.
The Company is involved in litigation matters not listed herein but does not consider the matters to be material either individually or in the aggregate at this time. The Company's view of the matters not listed may change in the future as the litigation and events related thereto unfold.
Indemnification
In the ordinary course of business, the Company has entered into contractual arrangements under which it has agreed to provide indemnification of varying scope and terms to business partners and other parties with respect to certain matters, including, but not limited to, losses arising out of the Company’s breach of such agreements and out of intellectual property infringement claims made by third parties. In these circumstances, payment may be conditional on the other party making a claim pursuant to the procedures specified in the particular contract.
The Company's obligations under these agreements may be limited in terms of time or amount, and in some instances, the Company may have recourse against third parties for certain payments. In addition, the Company has entered into indemnification agreements with its directors and certain of its officers that will require it, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The terms of such obligations vary.
It is not possible to make a reasonable estimate of the maximum potential amount of future payments under these or similar agreements due to the conditional nature of the Company’s obligations and the unique facts and circumstances involved in each particular agreement. No amount has been accrued in the accompanying consolidated financial statements with respect to these indemnification obligations.
v3.23.1
Stockholders' Equity
 3 Months Ended
Mar. 31, 2023
Stockholders' Equity Note [Abstract]  
Stockholders' Equity Stockholders’ Equity
Stock Option Plan
In June 2020, the Company's stockholders approved the 2020 Stock Plan, which was adopted by the Company’s Board of Directors in March 2020 subject to stockholder approval. The 2020 Stock Plan provides for the grant of incentive stock options to employees and for the grant of non-statutory stock options, stock appreciation rights, restricted stock and restricted stock units to employees, directors and consultants.
A summary of the activities related to the Company’s stock option plans is as follows:
Options Outstanding
Shares
Available
for Grant		Number of
Shares		Weighted-
Average
Exercise Price
(per share)		Weighted-Average
Remaining
Contractual Term
(in years)		Aggregate Intrinsic Value
(in thousands)
Balances as of December 31, 202216,454,103 19,896,861 $242.22 
Granted
(591,343)591,343 317.39
Exercised
— (412,158)62.29 
Expired
— (574)13.14 
Balances as of March 31, 202315,862,760 20,075,472 $248.14 5.58$2,545,760 
Vested and expected to vest as of March 31, 202320,075,472 $248.14 5.58$2,545,760 
Exercisable as of March 31, 202320,014,050 $247.85 5.56$2,544,913 

The aggregate intrinsic value in the table above represents the total pretax intrinsic value (the difference between the Company’s closing stock price on the last trading day of the first quarter of 2023 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on the last trading day of the first quarter of 2023. This amount changes based on the fair market value of the Company’s common stock.
A summary of the amounts related to option exercises, is as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Total intrinsic value of options exercised$116,310 $114,762 
Cash received from options exercised26,028 13,678 
Stock-based Compensation
Stock options are generally vested in full upon grant date and exercisable for the full ten year contractual term regardless of employment status. Stock options granted to certain named executive officers vest on the one-year anniversary of the grant date, subject to the employee’s continuous employment or service with the Company through the vesting date. The following table summarizes the assumptions used to value option grants using the lattice-binomial model and the valuation data:
Three Months Ended
March 31,
2023		March 31,
2022
Dividend yield— %— %
Expected volatility46 %38 %
Risk-free interest rate3.63 %1.71 %
Suboptimal exercise factor4.22 4.71 
Weighted-average fair value (per share)$186 $228 
Total stock-based compensation expense (in thousands)$99,099 $119,209 
Total income tax impact on provision (in thousands)$21,711 $26,413 

Stock Repurchases
In March 2021, the Company’s Board of Directors authorized the repurchase of up to $5 billion of its common stock, with no expiration date. Stock repurchases may be effected through open market repurchases in compliance with Rule 10b-18 under the Exchange Act, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Exchange Act, privately-negotiated transactions, accelerated stock repurchase plans, block purchases, or other similar purchase techniques and in such amounts as management deems appropriate. The Company is not obligated to repurchase any specific number of shares, and the timing and actual number of shares repurchased will depend on a variety of factors, including the Company’s stock price, general economic, business and market conditions, and alternative investment
opportunities. The Company may discontinue any repurchases of its common stock at any time without prior notice. During the three months ended March 31, 2023, the Company repurchased 1,222,056 shares for an aggregate amount of $400 million. As of March 31, 2023, $4.0 billion remain available for repurchases. Shares repurchased by the Company are accounted for when the transaction is settled. As of March 31, 2023, there were no unsettled share repurchases. Direct costs incurred to acquire the shares are included in the total cost of the shares.
v3.23.1
Income Taxes
 3 Months Ended
Mar. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
 Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands, except percentages)
Provision for income taxes$163,754 $382,245 
Effective tax rate11 %19 %
The effective tax rates for the three months ended March 31, 2023 differed from the Federal statutory rate primarily due to the impact of international provisions of the Tax Cuts and Jobs Act, research and development credits, and the recognition of excess tax benefits of stock-based compensation. The effective tax rates for the three months ended March 31, 2022 differed from the Federal statutory rate primarily due to an increase in foreign taxes, offset by the impact of international provisions of the Tax Cuts and Jobs Act and the recognition of excess tax benefits of stock-based compensation.
The decrease in the effective tax rate for the three months ended March 31, 2023, as compared to the same period in 2022 was primarily due to a decrease in foreign taxes. For the three months ended March 31, 2023, the Company recognized a discrete tax benefit related to the excess tax benefits from stock-based compensation of $24 million, compared to the three months ended March 31, 2022 of $25 million.
Gross unrecognized tax benefits were $234 million and $227 million as of March 31, 2023 and December 31, 2022, respectively. The gross unrecognized tax benefits, if recognized by the Company, will result in a reduction of approximately $162 million to the provision for income taxes thereby favorably impacting the Company’s effective tax rate.
The Company files U.S. Federal, state and foreign tax returns. The Company is currently under examination by the IRS for the years 2016 through 2018 and is subject to examination for 2019 through 2022. The foreign and state tax returns for the years 2015 through 2022 are subject to examination by various states and foreign jurisdictions. While the Company is in various stages of inquiries and examinations by federal, state and foreign taxing authorities, we believe that our tax positions will more likely than not be sustained. Nonetheless, it is possible that future obligations related to these matters could arise.
Given the potential outcome of the current examinations as well as the impact of the current examinations on the potential expiration of the statute of limitations, it is reasonably possible that the balance of unrecognized tax benefits could significantly change within the next twelve months. However, an estimate of the range of reasonably possible adjustments cannot be made at this time.
v3.23.1
Segment and Geographic Information
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment and Geographic Information Segment and Geographic Information
The Company operates as one operating segment. The Company's chief operating decision maker ("CODM") is its co-chief executive officers, who review financial information presented on a consolidated basis for the purposes of making operating decisions, assessing financial performance and allocating resources.
Total U.S. revenues were $3.3 billion and $3.1 billion for the three months ended March 31, 2023 and 2022, respectively. See Note 2 Revenue Recognition for additional information about streaming revenue by region.
The Company's long-lived tangible assets, as well as the Company's operating lease right-of-use assets recognized on the Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022, were located as follows:
As of
March 31,
2023		December 31,
2022
(in thousands)
United States$2,721,743 $2,745,071 
International866,371 880,308 
v3.23.1
Basis of Presentation and Summary of Significant Accounting Policies (Policies)
 3 Months Ended
Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Use of Estimates The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include the amortization of content assets and the recognition and measurement of income tax assets and liabilities. The Company bases its estimates on historical experience and on various other assumptions that the Company believes to be reasonable under the circumstances. On a regular basis, the Company evaluates the assumptions, judgments and estimates. Actual results may differ from these estimates.
v3.23.1
Revenue Recognition (Tables)
 3 Months Ended
Mar. 31, 2023
Revenue from Contract with Customer [Abstract]  
Summary of Streaming Revenue, Paid Net Membership Additions, and Ending Paid Memberships by Region
The following tables summarize revenues, paid net membership additions, and ending paid memberships by region for the three months ended March 31, 2023 and March 31, 2022, respectively:

United States and Canada (UCAN)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$3,608,645 $3,350,424 
Paid net membership additions (losses)102 (636)
Paid memberships at end of period (1)74,398 74,579 

Europe, Middle East, and Africa (EMEA)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$2,517,641 $2,561,831 
Paid net membership additions (losses)644 (303)
Paid memberships at end of period (1)77,373 73,733 

Latin America (LATAM)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$1,070,192 $998,948 
Paid net membership additions (losses)(450)(351)
Paid memberships at end of period (1)41,249 39,610 

Asia-Pacific (APAC)
As of/ Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands)
Revenues$933,523 $916,754 
Paid net membership additions (losses)1,455 1,087 
Paid memberships at end of period (1)39,478 33,719 
(1) A paid membership (also referred to as a paid subscription) is defined as a membership that has the right to receive Netflix service following sign-up and a method of payment being provided, and that is not part of a free trial or certain other promotions that may be offered by the Company to new or rejoining members. Certain members have the option to add extra member sub accounts. These extra member sub accounts are not included in paid memberships. A membership is canceled and ceases to be reflected in the above metrics as of the effective cancellation date. Voluntary cancellations generally become effective at the end of the prepaid membership period. Involuntary cancellations, as a result of a failed method of payment, become effective immediately. Memberships are assigned to territories based on the geographic location used at time of sign-up as determined by the Company’s internal systems, which utilize industry standard geo-location technology.
v3.23.1
Earnings Per Share (Tables)
 3 Months Ended
Mar. 31, 2023
Earnings Per Share [Abstract]  
Summary of Computation of Earnings Per Share The computation of earnings per share is as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands, except per share data)
Basic earnings per share:
Net income
$1,305,120 $1,597,447 
Shares used in computation:
Weighted-average shares of common stock outstanding445,244 444,146 
Basic earnings per share$2.93 $3.60 
Diluted earnings per share:
Net income
$1,305,120 $1,597,447 
Shares used in computation:
Weighted-average shares of common stock outstanding445,244 444,146 
Employee stock options7,173 8,838 
Weighted-average number of shares
452,417 452,984 
Diluted earnings per share$2.88 $3.53 
Summary of Potential Common Shares Excluded from the Diluted Calculation The following table summarizes the potential shares of common stock excluded from the diluted calculation:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Employee stock options5,847 2,749 
v3.23.1
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments (Tables)
 3 Months Ended
Mar. 31, 2023
Short-Term Investments And Fair Value Measurement [Abstract]  
Summary of Cash and Cash Equivalents and Restricted Cash The following tables summarize the Company's cash, cash equivalents, restricted cash and short-term investments as of March 31, 2023 and December 31, 2022:
 As of March 31, 2023
 Cash and cash equivalentsShort-term investmentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$3,787,630 $— $3,889 $19,483 $3,811,002 
Level 1 securities:
Money market funds2,561,649 — — 53 $2,561,702 
Level 2 securities:
Time Deposits (1)365,315 1,112,910 — — $1,478,225 
$6,714,594 $1,112,910 $3,889 $19,536 $7,850,929 


 As of December 31, 2022
 Cash and cash equivalentsShort-term investmentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$4,071,584 $— $3,410 $19,874 $4,094,868 
Level 1 securities:
Money market funds569,826 — — 122 569,948 
Level 2 securities:
Time Deposits (1)505,766 911,276 — — 1,417,042 
$5,147,176 $911,276 $3,410 $19,996 $6,081,858 
(1) The majority of the Company's time deposits are domestic deposits, which mature within one year.
v3.23.1
Balance Sheet Components (Tables)
 3 Months Ended
Mar. 31, 2023
Balance Sheet Components Disclosure [Abstract]  
Summary of Content Assets
Content assets consisted of the following:
As of
March 31,
2023		December 31,
2022
(in thousands)
Licensed content, net
$12,533,388 $12,732,549 
Produced content, net
Released, less amortization
9,306,337 9,110,518 
In production
9,872,138 10,255,940 
In development and pre-production
637,321 637,706 
19,815,796 20,004,164 

Content assets, net
$32,349,184 $32,736,713 
Summary of Amortization of Streaming Content Assets
The following table represents the amortization of content assets:
Three Months Ended
 March 31,
2023		March 31,
2022
(in thousands)
Licensed content$1,723,678 $1,884,438 
Produced content1,736,306 1,281,927 
Total$3,459,984 $3,166,365 
Summary of Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of
March 31,
2023		December 31,
2022		Estimated Useful Lives
(in thousands)
Land
$86,452 $85,005 
Buildings
60,420 52,106 30 years
Leasehold improvements
1,050,836 1,040,570 Over life of lease
Furniture and fixtures
153,836 153,682 
3 years
Information technology
443,073 442,681 3 years
Corporate aircraft
115,578 115,578 
8-10 years
Machinery and equipment
27,068 26,821 
3-5 years
Capital work-in-progress
284,181 235,555 
Property and equipment, gross
2,221,444 2,151,998 
Less: Accumulated depreciation
(808,350)(753,741)
Property and equipment, net
$1,413,094 $1,398,257 
Summary of Information on Right-of-Use Assets and Lease Liabilities
Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Cash paid for operating lease liabilities$113,407 $103,141 
Right-of-use assets obtained in exchange for new operating lease obligations20,894 141,298 

As of
March 31,
2023		December 31,
2022
(in thousands)
Operating lease right-of-use assets, net$2,175,020 $2,227,122 
Current operating lease liabilities363,304 355,985 
Non-current operating lease liabilities2,155,415 2,222,503 
Total operating lease liabilities$2,518,719 $2,578,488 
Schedule of Other Current Assets
Other current assets consisted of the following:
As of
March 31,
2023		December 31,
2022
(in thousands)
Trade receivables
$1,025,509 $988,898 
Prepaid expenses
485,997 392,735 
Other
1,143,613 1,826,388 
Total other current assets
$2,655,119 $3,208,021 
v3.23.1
Debt (Tables)
 3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
Summary of Long-term Debt Instruments
The following table provides a summary of the Company's outstanding debt and the fair values based on quoted market prices in less active markets as of March 31, 2023 and December 31, 2022:
Principal Amount at ParLevel 2 Fair Value as of
March 31,
2023		December 31,
2022		Issuance DateMaturityMarch 31,
2023		December 31,
2022
(in millions)(in millions)
5.750% Senior Notes
$400 $400 February 2014March 2024$404 $404 
5.875% Senior Notes
800 800 February 2015February 2025817 811 
3.000% Senior Notes (1)
510 503 April 2020June 2025503 495 
3.625% Senior Notes
500 500 April 2020June 2025487 479 
4.375% Senior Notes
1,000 1,000 October 2016November 2026991 980 
3.625% Senior Notes (1)
1,412 1,391 May 2017May 20271,403 1,338 
4.875% Senior Notes
1,600 1,600 October 2017April 20281,610 1,557 
5.875% Senior Notes
1,900 1,900 April 2018November 20282,002 1,930 
4.625% Senior Notes (1)
1,194 1,177 October 2018May 20291,222 1,151 
6.375% Senior Notes
800 800 October 2018May 2029862 830 
3.875% Senior Notes (1)
1,303 1,284 April 2019November 20291,283 1,201 
5.375% Senior Notes
900 900 April 2019November 2029917 885 
3.625% Senior Notes (1)
1,194 1,177 October 2019June 20301,153 1,078 
4.875% Senior Notes
1,000 1,000 October 2019June 2030998 944 
$14,513 $14,432 $14,652 $14,083 
(1) The following Senior Notes have a principal amount denominated in euro: 3.000% Senior Notes for €470 million, 3.625% Senior Notes for €1,300 million, 4.625% Senior Notes for €1,100 million, 3.875% Senior Notes for €1,200 million, and 3.625% Senior Notes for €1,100 million.
v3.23.1
Commitments and Contingencies (Tables)
 3 Months Ended
Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Summary of Expected Timing of Payments for Content Obligations
The expected timing of payments for these content obligations is as follows:
As of 
March 31,
2023		December 31,
2022
(in thousands)
Less than one year
$9,771,665 $10,038,483 
Due after one year and through three years
9,536,111 9,425,551 
Due after three years and through five years
1,964,812 2,124,307 
Due after five years
253,283 243,606 
Total content obligations
$21,525,871 $21,831,947 
v3.23.1
Stockholders' Equity (Tables)
 3 Months Ended
Mar. 31, 2023
Stockholders' Equity Note [Abstract]  
Summary of Activity Related to Stock Option Plans
A summary of the activities related to the Company’s stock option plans is as follows:
Options Outstanding
Shares
Available
for Grant		Number of
Shares		Weighted-
Average
Exercise Price
(per share)		Weighted-Average
Remaining
Contractual Term
(in years)		Aggregate Intrinsic Value
(in thousands)
Balances as of December 31, 202216,454,103 19,896,861 $242.22 
Granted
(591,343)591,343 317.39
Exercised
— (412,158)62.29 
Expired
— (574)13.14 
Balances as of March 31, 202315,862,760 20,075,472 $248.14 5.58$2,545,760 
Vested and expected to vest as of March 31, 202320,075,472 $248.14 5.58$2,545,760 
Exercisable as of March 31, 202320,014,050 $247.85 5.56$2,544,913 
Summary of Amounts Related to Option Exercises
A summary of the amounts related to option exercises, is as follows:
Three Months Ended
March 31,
2023		March 31,
2022
(in thousands)
Total intrinsic value of options exercised$116,310 $114,762 
Cash received from options exercised26,028 13,678 
Summary of Assumptions Used to Value Stock Option Grants Using Lattice-Binomial Model The following table summarizes the assumptions used to value option grants using the lattice-binomial model and the valuation data:
Three Months Ended
March 31,
2023		March 31,
2022
Dividend yield— %— %
Expected volatility46 %38 %
Risk-free interest rate3.63 %1.71 %
Suboptimal exercise factor4.22 4.71 
Weighted-average fair value (per share)$186 $228 
Total stock-based compensation expense (in thousands)$99,099 $119,209 
Total income tax impact on provision (in thousands)$21,711 $26,413 
v3.23.1
Income Taxes (Tables)
 3 Months Ended
Mar. 31, 2023
Income Tax Disclosure [Abstract]  
Summary of Components of Income Tax Expense
 Three Months Ended
 March 31,
2023		March 31,
2022
 (in thousands, except percentages)
Provision for income taxes$163,754 $382,245 
Effective tax rate11 %19 %
v3.23.1
Segment and Geographic Information (Tables)
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Summary of Long-lived Assets by Geographic Areas
The Company's long-lived tangible assets, as well as the Company's operating lease right-of-use assets recognized on the Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022, were located as follows:
As of
March 31,
2023		December 31,
2022
(in thousands)
United States$2,721,743 $2,745,071 
International866,371 880,308 
v3.23.1
Revenue Recognition - Revenue and Membership Information (Details)
membership in Thousands, $ in Thousands
 3 Months Ended
Mar. 31, 2023
USD ($)
membership
Mar. 31, 2022
USD ($)
membership
Disaggregation of Revenue [Line Items]    
Revenues | $ $ 8,161,503 $ 7,867,767
Streaming | United States and Canada    
Disaggregation of Revenue [Line Items]    
Revenues | $ $ 3,608,645 $ 3,350,424
Paid net membership additions (losses) (in memberships) 102 (636)
Paid memberships at end of period (in memberships) 74,398 74,579
Streaming | Europe, Middle East, and Africa    
Disaggregation of Revenue [Line Items]    
Revenues | $ $ 2,517,641 $ 2,561,831
Paid net membership additions (losses) (in memberships) 644 (303)
Paid memberships at end of period (in memberships) 77,373 73,733
Streaming | Latin America    
Disaggregation of Revenue [Line Items]    
Revenues | $ $ 1,070,192 $ 998,948
Paid net membership additions (losses) (in memberships) (450) (351)
Paid memberships at end of period (in memberships) 41,249 39,610
Streaming | Asia-Pacific    
Disaggregation of Revenue [Line Items]    
Revenues | $ $ 933,523 $ 916,754
Paid net membership additions (losses) (in memberships) 1,455 1,087
Paid memberships at end of period (in memberships) 39,478 33,719
v3.23.1
Revenue Recognition - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dec. 31, 2022
Disaggregation of Revenue [Line Items]      
Revenues $ 8,161,503 $ 7,867,767  
Deferred revenue 1,262,271   $ 1,264,661
DVD      
Disaggregation of Revenue [Line Items]      
Revenues 32,000 40,000  
United States      
Disaggregation of Revenue [Line Items]      
Revenues $ 3,300,000 $ 3,100,000  
v3.23.1
Earnings Per Share - Calculation of EPS (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Basic earnings per share:    
Net income $ 1,305,120 $ 1,597,447
Weighted-average shares of common stock outstanding (in shares) 445,244 444,146
Basic earnings per share (in USD per share) $ 2.93 $ 3.60
Diluted earnings per share:    
Net income $ 1,305,120 $ 1,597,447
Shares used in computation:    
Weighted-average shares of common stock outstanding (in shares) 445,244 444,146
Employee stock options (in shares) 7,173 8,838
Weighted-average number of shares (in shares) 452,417 452,984
Diluted earnings per share (in USD per share) $ 2.88 $ 3.53
v3.23.1
Earnings Per Share - Antidilutive Shares (Details) - shares
shares in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Earnings Per Share [Abstract]    
Antidilutive securities excluded from earnings per share calculations (in shares) 5,847 2,749
v3.23.1
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments $ 7,850,929 $ 6,081,858
Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 6,714,594 5,147,176
Short-term investments    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 1,112,910 911,276
Other Current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 3,889 3,410
Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 19,536 19,996
Cash    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 3,811,002 4,094,868
Cash | Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 3,787,630 4,071,584
Cash | Short-term investments    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Cash | Other Current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 3,889 3,410
Cash | Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 19,483 19,874
Level 1 Securities | Money market funds    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 2,561,702 569,948
Level 1 Securities | Money market funds | Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 2,561,649 569,826
Level 1 Securities | Money market funds | Short-term investments    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Level 1 Securities | Money market funds | Other Current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Level 1 Securities | Money market funds | Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 53 122
Level 2 Securities | Time Deposits    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 1,478,225 1,417,042
Level 2 Securities | Time Deposits | Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 365,315 505,766
Level 2 Securities | Time Deposits | Short-term investments    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 1,112,910 911,276
Level 2 Securities | Time Deposits | Other Current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Level 2 Securities | Time Deposits | Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments $ 0 $ 0
v3.23.1
Balance Sheet Components - Components of Content Assets (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]      
Content assets, net $ 32,349,184   $ 32,736,713
Amortization of content assets 3,459,984 $ 3,166,365  
Licensed content, net      
Finite-Lived Intangible Assets [Line Items]      
Net content 12,533,388   12,732,549
Unamortized cost in year one 5,430,000    
Unamortized cost in year two 2,781,000    
Unamortized cost in year three 1,952,000    
Amortization of content assets 1,723,678 1,884,438  
Produced content, net      
Finite-Lived Intangible Assets [Line Items]      
Net content 9,306,337   9,110,518
In production 9,872,138   10,255,940
In development and pre-production 637,321   637,706
Content assets, net 19,815,796   $ 20,004,164
Unamortized cost in year one 3,553,000    
Unamortized cost in year two 2,393,000    
Unamortized cost in year three 1,692,000    
Amortization of content assets $ 1,736,306 $ 1,281,927  
v3.23.1
Balance Sheet Components - Property And Equipment (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 2,221,444 $ 2,151,998
Less: Accumulated depreciation (808,350) (753,741)
Property and equipment, net 1,413,094 1,398,257
Land    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 86,452 85,005
Buildings    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 60,420 52,106
Estimated Useful Lives 30 years  
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 1,050,836 1,040,570
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 153,836 153,682
Estimated Useful Lives 3 years  
Information technology    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 443,073 442,681
Estimated Useful Lives 3 years  
Corporate aircraft    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 115,578 115,578
Corporate aircraft | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives 8 years  
Corporate aircraft | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives 10 years  
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 27,068 26,821
Machinery and equipment | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives 3 years  
Machinery and equipment | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives 5 years  
Capital work-in-progress    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 284,181 $ 235,555
v3.23.1
Balance Sheet Components - Leases (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dec. 31, 2022
Leases [Abstract]      
Cash paid for operating lease liabilities $ 113,407 $ 103,141  
Right-of-use assets obtained in exchange for new operating lease obligations 20,894 $ 141,298  
Operating lease right-of-use assets, net 2,175,020   $ 2,227,122
Current operating lease liabilities 363,304   355,985
Non-current operating lease liabilities 2,155,415   2,222,503
Total operating lease liabilities $ 2,518,719   $ 2,578,488
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other non-current assets   Other non-current assets
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Accrued Liabilities, Current   Accrued Liabilities, Current
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other non-current liabilities   Other non-current liabilities
v3.23.1
Balance Sheet Components - Other Current Assets (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Balance Sheet Components Disclosure [Abstract]    
Trade receivables $ 1,025,509 $ 988,898
Prepaid expenses 485,997 392,735
Other 1,143,613 1,826,388
Total other current assets $ 2,655,119 $ 3,208,021
v3.23.1
Debt - Narrative (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
USD ($)
Mar. 31, 2022
USD ($)
Mar. 31, 2023
EUR (€)
Dec. 31, 2022
USD ($)
Debt Instrument [Line Items]        
Aggregate outstanding notes $ 14,437,000     $ 14,353,000
Debt issuance costs 76,000     79,000
Short-term debt 399,163     0
Long-term notes denominated in foreign currency 14,513,000     $ 14,432,000
Foreign currency remeasurement loss (gain) on debt (80,651) $ 161,821    
Senior Notes        
Debt Instrument [Line Items]        
Long-term notes denominated in foreign currency | €     € 5,170,000,000  
Foreign currency remeasurement loss (gain) on debt $ (81,000)      
Redemption prices, percent of outstanding principal 101.00%      
v3.23.1
Debt - Summary of Long-term Debt (Details)
$ in Millions
Mar. 31, 2023
EUR (€)
Mar. 31, 2023
USD ($)
Dec. 31, 2022
EUR (€)
Dec. 31, 2022
USD ($)
Debt Instrument [Line Items]        
Face amount   $ 14,513   $ 14,432
Long-term debt, fair value   $ 14,652   $ 14,083
Senior Notes        
Debt Instrument [Line Items]        
Face amount | € € 5,170,000,000      
Senior Notes | 5.750% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 5.75% 5.75% 5.75% 5.75%
Face amount   $ 400   $ 400
Long-term debt, fair value   $ 404   $ 404
Senior Notes | 5.875% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 5.875% 5.875% 5.875% 5.875%
Face amount   $ 800   $ 800
Long-term debt, fair value   $ 817   $ 811
Senior Notes | 3.000% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 3.00% 3.00% 3.00% 3.00%
Face amount € 470,000,000 $ 510 € 470,000,000 $ 503
Long-term debt, fair value   $ 503   $ 495
Senior Notes | 3.625% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 3.625% 3.625% 3.625% 3.625%
Face amount   $ 500   $ 500
Long-term debt, fair value   $ 487   $ 479
Senior Notes | 4.375% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 4.375% 4.375% 4.375% 4.375%
Face amount   $ 1,000   $ 1,000
Long-term debt, fair value   $ 991   $ 980
Senior Notes | 3.625% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 3.625% 3.625% 3.625% 3.625%
Face amount € 1,300,000,000 $ 1,412 € 1,300,000,000 $ 1,391
Long-term debt, fair value   $ 1,403   $ 1,338
Senior Notes | 4.875% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 4.875% 4.875% 4.875% 4.875%
Face amount   $ 1,600   $ 1,600
Long-term debt, fair value   $ 1,610   $ 1,557
Senior Notes | 5.875% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 5.875% 5.875% 5.875% 5.875%
Face amount   $ 1,900   $ 1,900
Long-term debt, fair value   $ 2,002   $ 1,930
Senior Notes | 4.625% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 4.625% 4.625% 4.625% 4.625%
Face amount € 1,100,000,000 $ 1,194 € 1,100,000,000 $ 1,177
Long-term debt, fair value   $ 1,222   $ 1,151
Senior Notes | 6.375% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 6.375% 6.375% 6.375% 6.375%
Face amount   $ 800   $ 800
Long-term debt, fair value   $ 862   $ 830
Senior Notes | 3.875% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 3.875% 3.875% 3.875% 3.875%
Face amount € 1,200,000,000 $ 1,303 € 1,200,000,000 $ 1,284
Long-term debt, fair value   $ 1,283   $ 1,201
Senior Notes | 5.375% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 5.375% 5.375% 5.375% 5.375%
Face amount   $ 900   $ 900
Long-term debt, fair value   $ 917   $ 885
Senior Notes | 3.625% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 3.625% 3.625% 3.625% 3.625%
Face amount € 1,100,000,000 $ 1,194 € 1,100,000,000 $ 1,177
Long-term debt, fair value   $ 1,153   $ 1,078
Senior Notes | 4.875% Senior Notes        
Debt Instrument [Line Items]        
Interest rate 4.875% 4.875% 4.875% 4.875%
Face amount   $ 1,000   $ 1,000
Long-term debt, fair value   $ 998   $ 944
v3.23.1
Debt - Revolving Line of Credit (Details) - Revolving Credit Facility - USD ($)
 3 Months Ended
Mar. 31, 2023
Mar. 06, 2023
Line of Credit Facility [Line Items]    
Line of credit facility, maximum borrowing capacity   $ 1,000,000,000
Proceeds from lines of credit $ 0  
Commitment fee percentage 0.10%  
LIBOR    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 0.75%  
Federal Funds Rate    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 0.50%  
One-month LIBOR    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 1.00%  
One-month LIBOR | Minimum    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 0.00%  
v3.23.1
Commitments and Contingencies - Streaming Content (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Contractual Obligation [Line Items]    
Total streaming content obligations $ 21,525,871 $ 21,831,947
Current content liabilities 4,344,580 4,480,150
Non-current content liabilities 2,908,029 3,081,277
Unrecorded streaming obligations 14,300,000 14,200,000
Current content liabilities    
Contractual Obligation [Line Items]    
Current content liabilities 4,300,000 4,500,000
Non-current content liabilities    
Contractual Obligation [Line Items]    
Non-current content liabilities $ 2,900,000 $ 3,100,000
v3.23.1
Commitments and Contingencies - Expected Timing of Payments (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]    
Less than one year $ 9,771,665 $ 10,038,483
Due after one year and through three years 9,536,111 9,425,551
Due after three years and through five years 1,964,812 2,124,307
Due after five years 253,283 243,606
Total content obligations $ 21,525,871 $ 21,831,947
v3.23.1
Commitments and Contingencies - Legal Proceedings (Details)
Mar. 31, 2023
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Indemnification obligations $ 0
v3.23.1
Stockholders' Equity - Summary of Activity Related to Stock Option Plans (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended
Mar. 31, 2023
USD ($)
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]  
Shares available for grant, beginning balance (in shares) 16,454,103
Options outstanding, number of shares, beginning balance (in shares) 19,896,861
Options outstanding, number of shares granted (in shares) 591,343
Options outstanding, number of shares, exercised (in shares) (412,158)
Options outstanding, number of shares expired (in shares) (574)
Shares available for grant, ending balance (in shares) 15,862,760
Options outstanding, number of shares, ending balance (in shares) 20,075,472
Options outstanding, number of shares, vested and expected to vest (in shares) 20,075,472
Options outstanding, number of shares, exercisable (in shares) 20,014,050
Weighted- Average Exercise Price (per share)  
Options outstanding, weighted-average exercise price, beginning balance (dollars per share) | $ / shares $ 242.22
Options outstanding, weighted-average exercise price, granted (dollars per share) | $ / shares 317.39
Options outstanding, weighted-average exercise price, exercised (dollars per share) | $ / shares 62.29
Options expired, weighted-average exercise price (dollars per share) | $ / shares 13.14
Options outstanding, weighted-average exercise price, ending balance (dollars per share) | $ / shares 248.14
Options outstanding, weighted-average exercise price, vested and expected to vest (in dollars per share) | $ / shares 248.14
Options outstanding, weighted-average exercise price, vested and exercisable (in dollars per share) | $ / shares $ 247.85
Weighted-Average Remaining Contractual Term (in years)  
Weighted-average remaining contractual term, outstanding 5 years 6 months 29 days
Weighted-average exercise price, vested and exercisable, vested and expected to vest 5 years 6 months 29 days
Weighted-average remaining contractual term, exercisable 5 years 6 months 21 days
Aggregate Intrinsic Value [Roll Forward]  
Aggregate intrinsic value | $ $ 2,545,760
Aggregate intrinsic value, vested and expected to vest | $ 2,545,760
Aggregate intrinsic value, exercisable | $ $ 2,544,913
v3.23.1
Stockholders' Equity - Stock Option Plan Narrative (Details)
 3 Months Ended
Mar. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Share-based payment award, expiration period 10 years
Executive officers  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award vesting period 1 year
v3.23.1
Stockholders' Equity - Amounts Related to Option Exercises (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Stockholders' Equity Note [Abstract]    
Total intrinsic value of options exercised $ 116,310 $ 114,762
Cash received from options exercised $ 26,028 $ 13,678
v3.23.1
Stockholders' Equity - Assumptions Used to Value Stock Options (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Stockholders' Equity Note [Abstract]    
Dividend yield 0.00% 0.00%
Expected volatility 46.00% 38.00%
Risk-free interest rate 3.63% 1.71%
Suboptimal exercise factor 4.22 4.71
Weighted-average fair value (in dollars per share) $ 186 $ 228
Total stock-based compensation expense $ 99,099 $ 119,209
Total income tax impact on provision $ 21,711 $ 26,413
v3.23.1
Stockholders' Equity - Stock Repurchases (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2021
Stockholders' Equity Note [Abstract]    
Common stock authorized to be repurchased   $ 5,000
Stock repurchased (in shares) 1,222,056  
Repurchases of common stock to be held as treasury stock $ 400  
Remaining authorized repurchase amount $ 4,000  
v3.23.1
Income Taxes - Components of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Income Tax Disclosure [Abstract]    
Provision for income taxes $ 163,754 $ 382,245
Effective tax rate 11.00% 19.00%
v3.23.1
Income Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Tax benefit from share based compensation $ 24 $ 25  
Unrecognized tax benefits 234   $ 227
Reduction in provision for income taxes due to impact of effective tax rate $ 162    
v3.23.1
Segment and Geographic Information - Narrative (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
USD ($)
segment
Mar. 31, 2022
USD ($)
Segment Reporting Information [Line Items]    
Number of operating segments | segment 1  
Revenues $ 8,161,503 $ 7,867,767
United States    
Segment Reporting Information [Line Items]    
Revenues $ 3,300,000 $ 3,100,000
v3.23.1
Segment and Geographic Information - Long-lived Assets by Geographical Areas (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived tangible assets $ 2,721,743 $ 2,745,071
International    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived tangible assets $ 866,371 $ 880,308