NETFLIX INC, 10-K filed on 1/26/2024
Annual Report
v3.23.4
Cover - USD ($)
 12 Months Ended
Dec. 31, 2023
Jun. 30, 2023
Cover [Abstract]    
Document Type 10-K  
Document Annual Report true  
Document Period End Date Dec. 31, 2023  
Current Fiscal Year End Date --12-31  
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 Well-known Seasoned Issuer Yes  
Entity Voluntary Filers No  
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  
ICFR Auditor Attestation Flag true  
Document Financial Statement Error Correction [Flag] false  
Entity Shell Company false  
Entity Public Float   $ 192,301,932,760
Entity Common Stock, Shares Outstanding 432,759,584  
Documents Incorporated by Reference
Parts of the registrant’s Proxy Statement for the registrant’s 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this Annual Report on Form 10-K.
  
Entity Central Index Key 0001065280  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus FY  
Amendment Flag false  
v3.23.4
Audit Information
 12 Months Ended
Dec. 31, 2023
Audit Information [Abstract]  
Auditor Firm ID 42
Auditor Name Ernst & Young LLP
Auditor Location San Jose, California
v3.23.4
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Statement [Abstract]      
Revenues $ 33,723,297 $ 31,615,550 $ 29,697,844
Cost of revenues 19,715,368 19,168,285 17,332,683
Marketing 2,657,883 2,530,502 2,545,146
Technology and development 2,675,758 2,711,041 2,273,885
General and administrative 1,720,285 1,572,891 1,351,621
Operating income 6,954,003 5,632,831 6,194,509
Other income (expense):      
Interest expense (699,826) (706,212) (765,620)
Interest and other income (expense) (48,772) 337,310 411,214
Income before income taxes 6,205,405 5,263,929 5,840,103
Provision for income taxes (797,415) (772,005) (723,875)
Net income $ 5,407,990 $ 4,491,924 $ 5,116,228
Earnings per share:      
Basic (in USD per share) $ 12.25 $ 10.10 $ 11.55
Diluted (in USD per share) $ 12.03 $ 9.95 $ 11.24
Weighted-average shares of common stock outstanding:      
Basic (in shares) 441,571 444,698 443,155
Diluted (in shares) 449,498 451,290 455,372
v3.23.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Comprehensive Income [Abstract]      
Net income $ 5,407,990 $ 4,491,924 $ 5,116,228
Other comprehensive income (loss):      
Foreign currency translation adjustments 113,384 (176,811) (84,893)
Cash flow hedges:      
Net unrealized gains (losses), net of tax benefit (expense) of $36 million, $0, and $0, respectively (120,023) 0 0
Total other comprehensive loss (6,639) (176,811) (84,893)
Comprehensive income $ 5,401,351 $ 4,315,113 $ 5,031,335
v3.23.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Comprehensive Income [Abstract]      
Net unrealized gains (losses), tax benefit (expense) $ 36,000 $ 0 $ 0
v3.23.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Cash flows from operating activities:      
Net income $ 5,407,990 $ 4,491,924 $ 5,116,228
Adjustments to reconcile net income to net cash provided by operating activities:      
Additions to content assets (12,554,703) (16,839,038) (17,702,202)
Change in content liabilities (585,602) 179,310 232,898
Amortization of content assets 14,197,437 14,026,132 12,230,367
Depreciation and amortization of property, equipment and intangibles 356,947 336,682 208,412
Stock-based compensation expense 339,368 575,452 403,220
Foreign currency remeasurement loss (gain) on debt 176,296 (353,111) (430,661)
Other non-cash items 512,075 533,543 376,777
Deferred income taxes (459,359) (166,550) 199,548
Changes in operating assets and liabilities:      
Other current assets (181,003) (353,834) (369,681)
Accounts payable 93,502 (158,543) 145,115
Accrued expenses and other liabilities 103,565 (55,513) 180,338
Deferred revenue 178,708 27,356 91,350
Other non-current assets and liabilities (310,920) (217,553) (289,099)
Net cash provided by operating activities 7,274,301 2,026,257 392,610
Cash flows from investing activities:      
Purchases of property and equipment (348,552) (407,729) (524,585)
Change in other assets 0 0 (26,919)
Acquisitions 0 (757,387) (788,349)
Purchases of short-term investments (504,862) (911,276) 0
Proceeds from maturities of short-term investments 1,395,165 0 0
Net cash provided by (used in) investing activities 541,751 (2,076,392) (1,339,853)
Cash flows from financing activities:      
Repayments of debt 0 (700,000) (500,000)
Proceeds from issuance of common stock 169,990 35,746 174,414
Repurchases of common stock (6,045,347) 0 (600,022)
Taxes paid related to net share settlement of equity awards 0 0 (224,168)
Other financing activities (75,446) 0 0
Net cash used in financing activities (5,950,803) (664,254) (1,149,776)
Effect of exchange rate changes on cash, cash equivalents and restricted cash 82,684 (170,140) (86,740)
Net increase (decrease) in cash, cash equivalents and restricted cash 1,947,933 (884,529) (2,183,759)
Cash, cash equivalents and restricted cash, beginning of year 5,170,582 6,055,111 8,238,870
Cash, cash equivalents and restricted cash, end of year 7,118,515 5,170,582 6,055,111
Supplemental disclosure:      
Income taxes paid 1,154,973 811,720 509,265
Interest paid $ 684,504 $ 701,693 $ 763,432
v3.23.4
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Current assets:    
Cash and cash equivalents $ 7,116,913 $ 5,147,176
Short-term investments 20,973 911,276
Other current assets 2,780,247 3,208,021
Total current assets 9,918,133 9,266,473
Content assets, net 31,658,056 32,736,713
Property and equipment, net 1,491,444 1,398,257
Other non-current assets 5,664,359 5,193,325
Total assets 48,731,992 48,594,768
Current liabilities:    
Current content liabilities 4,466,470 4,480,150
Accounts payable 747,412 671,513
Accrued expenses and other liabilities 1,803,960 1,514,650
Deferred revenue 1,442,969 1,264,661
Short-term debt 399,844 0
Total current liabilities 8,860,655 7,930,974
Non-current content liabilities 2,578,173 3,081,277
Long-term debt 14,143,417 14,353,076
Other non-current liabilities 2,561,434 2,452,040
Total liabilities 28,143,679 27,817,367
Commitments and contingencies (Note 8)
Stockholders’ equity:    
Preferred stock, $0.001 par value; 10,000,000 shares authorized at December 31, 2023 and December 31, 2022; no shares issued and outstanding at December 31, 2023 and December 31, 2022 0 0
Common stock, $0.001 par value; 4,990,000,000 shares authorized at December 31, 2023 and December 31, 2022; 432,759,584 and 445,346,776 issued and outstanding at December 31, 2023 and December 31, 2022, respectively 5,145,172 4,637,601
Treasury stock at cost (16,078,268 and 1,564,478 shares at December 31, 2023 and December 31, 2022) (6,922,200) (824,190)
Accumulated other comprehensive loss (223,945) (217,306)
Retained earnings 22,589,286 17,181,296
Total stockholders’ equity 20,588,313 20,777,401
Total liabilities and stockholders’ equity $ 48,731,992 $ 48,594,768
v3.23.4
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Dec. 31, 2023
Dec. 31, 2022
Statement of Financial Position [Abstract]    
Preferred stock, par value (in USD per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 10,000,000 10,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
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) 432,759,584 445,346,776
Common stock, shares outstanding (in shares) 432,759,584 445,346,776
Treasury stock (in shares) 16,078,268 1,564,478
v3.23.4
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($)
$ in Thousands
Total
Common Stock and Additional Paid-in Capital
Treasury Stock
Accumulated Other Comprehensive Income (Loss)
Retained Earnings
Beginning balance (in shares) at Dec. 31, 2020   442,895,261      
Beginning balance at Dec. 31, 2020 $ 11,065,240 $ 3,447,698 $ 0 $ 44,398 $ 7,573,144
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net income 5,116,228       5,116,228
Other comprehensive loss $ (84,893)     (84,893)  
Issuance of common stock upon exercise of options (in shares) 2,632,324 2,632,324      
Issuance of common stock upon exercise of options $ 173,643 $ 173,643      
Repurchases of common stock (in shares)   (1,182,410)      
Repurchases of common stock (600,022)   (600,022)    
Shares withheld related to net share settlement (in shares)   (382,068)      
Shares withheld related to net share settlement (224,168)   (224,168)    
Stock-based compensation expense 403,220 $ 403,220      
Ending balance (in shares) at Dec. 31, 2021   443,963,107      
Ending 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]          
Net income 4,491,924       4,491,924
Other comprehensive loss $ (176,811)     (176,811)  
Issuance of common stock upon exercise of options (in shares) 1,383,669 1,383,669      
Issuance of common stock upon exercise of options $ 37,588 $ 37,588      
Stock-based compensation expense $ 575,452 $ 575,452      
Ending balance (in shares) at Dec. 31, 2022 445,346,776 445,346,776      
Ending 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]          
Net income 5,407,990       5,407,990
Other comprehensive loss $ (6,639)     (6,639)  
Issuance of common stock upon exercise of options (in shares) 1,926,598 1,926,598      
Issuance of common stock upon exercise of options $ 168,203 $ 168,203      
Repurchases of common stock (in shares) (14,513,790) (14,513,790)      
Repurchases of common stock $ (6,098,010)   (6,098,010)    
Stock-based compensation expense $ 339,368 $ 339,368      
Ending balance (in shares) at Dec. 31, 2023 432,759,584 432,759,584      
Ending balance at Dec. 31, 2023 $ 20,588,313 $ 5,145,172 $ (6,922,200) $ (223,945) $ 22,589,286
v3.23.4
Organization and Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization and Summary of Significant Accounting Policies Organization and Summary of Significant Accounting Policies
Description of Business
Netflix, Inc. (the “Company”) was incorporated on August 29, 1997 and began operations on April 14, 1998. The Company is one of the world’s leading entertainment services with over 260 million paid memberships in over 190 countries enjoying TV series, films and games across a wide variety of genres and languages. Members can play, pause and resume watching as much as they want, anytime, anywhere, and can change their plans at any time.
Basis of Presentation
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany balances and transactions have been eliminated.
Use of Estimates
The preparation of consolidated financial statements in conformity with generally accepted accounting principles ("GAAP") in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant items subject to such estimates and assumptions include the content asset amortization policy 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 an ongoing basis, the Company evaluates these assumptions, judgments and estimates. Actual results may differ from these estimates
Recently issued accounting pronouncements not yet adopted
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires public entities to disclose information about their reportable segments’ significant expenses and other segment items on an interim and annual basis. Public entities with a single reportable segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation requirements in ASC 280 on an interim and annual basis. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU 2023-07.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires public entities, on an annual basis, to provide disclosure of specific categories in the rate reconciliation, as well as disclosure of income taxes paid disaggregated by jurisdiction. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU 2023-09.
Cash Equivalents and Short-term Investments
The Company considers investments in instruments purchased with an original maturity of 90 days or less to be cash equivalents. The Company also classifies amounts in transit from payment processors for customer credit card and debit card transactions that it expects to settle within several days as cash equivalents.
The Company classifies short-term investments, which consist of marketable securities with original maturities in excess of 90 days as available-for-sale. Short-term investments are reported at fair value, with allowances for credit losses included in “Interest and other income (expense)” in the Consolidated Statements of Operations and unrealized gains and losses included in “Accumulated other comprehensive income (loss)” within Stockholders’ equity in the Consolidated Balance Sheets. The Company uses the specific identification method to determine cost in calculating realized gains and losses upon the sale of short-term investments.
Short-term investments are reviewed periodically for allowances for credit losses and impairment. When evaluating the investments, the Company reviews factors such as the extent to which the fair value of the security is less than the amortized cost basis, adverse conditions specifically related to the security, the financial condition of the issuer, the Company’s intent to sell, and whether it would be more likely than not that the Company would be required to sell the investments before the recovery of their amortized cost basis.
Content
The Company acquires, licenses and produces content, including original programming, in order to offer members unlimited viewing of video entertainment. The content licenses are for a fixed fee and specific windows of availability. Payment terms for certain content licenses and the production of content require more upfront cash payments relative to the amortization expense. Payments for content, including additions to content assets and the changes in related liabilities, are classified within "Net cash provided by operating activities" on the Consolidated Statements of Cash Flows.
The Company recognizes content assets (licensed and produced) as “Content assets, net” on the Consolidated Balance Sheets. For licensed content, the Company capitalizes the fee per title and records a corresponding liability at the gross amount of the liability when the license period begins, the cost of the title is known and the title is accepted and available for streaming. For produced content, the Company capitalizes costs associated with the production, including development costs, direct costs and production overhead. Participations and residuals are expensed in line with the amortization of production costs.
Based on factors including historical and estimated viewing patterns, the Company amortizes the content assets (licensed and produced) in “Cost of revenues” on the Consolidated Statements of Operations over the shorter of each title's contractual window of availability or estimated period of use or ten years, beginning with the month of first availability. The amortization is on an accelerated basis, as the Company typically expects more upfront viewing, and film amortization is more accelerated than TV series amortization. On average, over 90% of a licensed or produced content asset is expected to be amortized within four years after its month of first availability. The Company reviews factors impacting the amortization of the content assets on a regular basis. The Company's estimates related to these factors require considerable management judgment.
In the normal course of business, the Company, or a third-party producing content on the Company's behalf, may qualify for tax incentives through eligible spend on productions. The accounting for tax incentives is dependent on the particular type of incentive, including the nature of the benefit and the location the incentive is earned. In general, tax incentives are realized as cash receipts and may be received prior to or after a title launches on the Company’s service. Upon a title’s launch, any amounts the Company is eligible for through qualified production spend but has not received, are recognized in “Other current assets” or “Other non-current assets” on the Company’s Consolidated Balance Sheets as receivables. Tax incentives are generally accounted for as a reduction to the cost basis of the Company’s content assets (presented in “Content assets, net”) and reduce content amortization over the life of the title (as presented in “Cost of revenues”) on the Consolidated Statements of Operations.
The Company's business model is subscription based as opposed to a model generating revenues at a specific title level. Content assets (licensed and produced) are predominantly monetized as a group and therefore are reviewed in aggregate at a group level when an event or change in circumstances indicates a change in the expected usefulness of the content or that the fair value may be less than unamortized cost. To date, the Company has not identified any such event or changes in circumstances. If such changes are identified in the future, these aggregated content assets will be stated at the lower of unamortized cost or fair value. In addition, unamortized costs for assets that have been, or are expected to be, abandoned are written off.
Acquisitions
The Company uses its best estimates and assumptions to assign fair value to the tangible and intangible assets acquired and liabilities assumed at the acquisition date. In addition, uncertain tax positions, tax-related valuation allowances and pre-acquisition contingencies are initially recorded in connection with a business combination as of the acquisition date.
Property and Equipment
Property and equipment are carried at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the shorter of the estimated useful lives of the respective assets, generally up to 30 years, or the expected lease term for leasehold improvements, if applicable.
Trade Receivables
Trade receivables consist primarily of amounts related to members and payment partners that collect membership fees on the Company's behalf. The Company evaluates the need for an allowance for credit losses based on historical collection trends, the financial condition of its payment partners, and external market factors. The Company's allowance for credit losses was not material as of December 31, 2023 and December 31, 2022.
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. In circumstances in which the price that the member pays is established by a partner and there is no standalone price for the Netflix service (for instance, in a bundle), the net amount collected from the partner is recognized as revenue.
The Company also earns revenue from advertisements presented on its streaming service, consumer products and various other sources. Revenues earned from sources other than monthly membership fees were not material for the years ended December 31, 2023, 2022, and 2021. See Note 2 Revenue Recognition to the consolidated financial statements for further information regarding revenues.
Marketing
Marketing expenses consist primarily of advertising expenses and certain payments made to the Company’s partners, including CE manufacturers, MVPDs, mobile operators and ISPs. Marketing expenses also include payroll, stock-based compensation, facilities, and other related expenses for personnel that support the Company's sales and marketing activities. Advertising expenses include promotional activities such as digital and television advertising. Advertising costs are expensed as incurred. Advertising expenses were $1,732 million, $1,586 million and $1,669 million for the years ended December 31, 2023, 2022 and 2021, respectively.
Income Taxes
The Company records a provision for income taxes for the anticipated tax consequences of the reported results of operations using the asset and liability method. Deferred income taxes are recognized by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases as well as net operating loss and tax credit carryforwards. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The measurement of deferred tax assets is reduced, if necessary, by a valuation allowance for any tax benefits for which future realization is uncertain. We account for the tax effects of global intangible low tax income as a current period expense.
The Company does not recognize certain tax benefits from uncertain tax positions within the provision for income taxes. The Company may recognize a tax benefit only if it is more likely than not the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such positions are then measured based on the largest benefit that has a greater than 50% likelihood of being realized upon settlement. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. See Note 10 Income Taxes to the consolidated financial statements for further information regarding income taxes.
Foreign Currency
The functional currency for the Company's subsidiaries is determined based on the primary economic environment in which the subsidiary operates. The Company translates the assets and liabilities of its non-U.S. dollar functional currency subsidiaries into U.S. dollars using exchange rates in effect at the end of each period. Revenues and expenses for these subsidiaries are translated using rates that approximate those in effect during the period. Gains and losses from these translations are recognized in cumulative translation adjustment included in "Accumulated other comprehensive income" in Stockholders’ equity on the Consolidated Balance Sheets.
The Company remeasures monetary assets and liabilities that are not denominated in the functional currency at exchange rates in effect at the end of each period. Gains and losses from these remeasurements are recognized in "Interest and other income (expense)" in the Consolidated Statements of Operations. Foreign currency transactions resulted in a loss of $293 million, a gain of $282 million, and a gain of $403 million for the years ended December 31, 2023, 2022, and 2021, respectively. These gains and losses were primarily due to the non-cash remeasurement of our Senior Notes denominated in euros and the remeasurement of cash and content liability positions denominated in currencies other than functional currencies.
Derivative Financial Instruments
The Company uses derivative instruments to manage foreign exchange risk related to its ongoing business operations with the primary objective of reducing operating income and cash flow volatility associated with fluctuations in foreign exchange rates.
The Company enters into forward contracts to manage the foreign exchange risk on forecasted revenue transactions denominated in currencies other than the U.S. dollar, as well as the foreign exchange risk on forecasted transactions and firm commitments related to the licensing and production of foreign currency-denominated content assets. These forward contracts
are designated as cash flow hedges of foreign currency firm commitments and forecasted transactions and generally have maturities of 24 months or less. The hedging contracts may reduce, but do not entirely eliminate, the effect of foreign currency exchange movements, and the Company may choose not to hedge certain exposures.
The Company recognizes derivative instruments at fair value as either assets (presented in “Other current assets” and “Other non-current assets”) or liabilities (presented in “Accrued expenses and other liabilities'' and “Other non-current liabilities”) on the Company’s Consolidated Balance Sheets. The Company classifies derivative instruments in the Level 2 category within the fair value hierarchy.
The gain or loss on derivative instruments designated as cash flow hedges of forecasted foreign currency revenue is initially reported as a component of accumulated other comprehensive income (“AOCI") and reclassified into “Revenues” on the Consolidated Statements of Operations in the same period the forecasted transaction affects earnings. The gain or loss on derivative instruments designated as cash flow hedges of firmly committed or forecasted transactions related to the licensing and production of content assets is initially reported as a component of AOCI and reclassified into “Cost of Revenues” on the Consolidated Statements of Operations in the same period the hedged transaction affects earnings, which occurs as the underlying hedged content assets are amortized. Cash flows from hedging activities are classified in the same category as the cash flows for the underlying item being hedged within "Net cash provided by operating activities" on the Consolidated Statements of Cash Flows.
In the event that the likelihood of occurrence of the underlying forecasted transactions is determined to be probable not to occur, the gains or losses on the related cash flow hedges are reclassified from AOCI to “Interest and other income (expense)” in the Consolidated Statements of Operations in the period of dedesignation.
See Note 7 Derivative Financial Instruments to the consolidated financial statements for further information regarding the Company’s derivative financial instruments.
Stock-Based Compensation
The Company grants non-qualified stock options to its employees on a monthly basis. Stock-based compensation expense is based on the fair value of the options at the grant date and is recognized, net of forfeitures, over the requisite service period. See Note 9 Stockholders' Equity to the consolidated financial statements for further information regarding stock-based compensation.
v3.23.4
Revenue Recognition
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The following tables summarize streaming revenues, paid net membership additions (losses), and ending paid memberships by region for the years ended December 31, 2023, 2022 and 2021, respectively:

United States and Canada (UCAN)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$14,873,783 $14,084,643 $12,972,100 
Paid net membership additions (losses)5,832 (919)1,279 
Paid memberships at end of period (1)80,128 74,296 75,215 

Europe, Middle East, and Africa (EMEA)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$10,556,487 $9,745,015 $9,699,819 
Paid net membership additions12,084 2,693 7,338 
Paid memberships at end of period (1)88,813 76,729 74,036 
Latin America (LATAM)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$4,446,461 $4,069,973 $3,576,976 
Paid net membership additions4,298 1,738 2,424 
Paid memberships at end of period (1)45,997 41,699 39,961 


Asia-Pacific (APAC)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$3,763,727 $3,570,221 $3,266,601 
Paid net membership additions7,315 5,391 7,140 
Paid memberships at end of period (1)45,338 38,023 32,632 
(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.
Deferred revenue consists of membership fees billed that have not been recognized, as well as gift and other prepaid memberships that have not been fully redeemed. As of December 31, 2023, total deferred revenue was $1,443 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. The $178 million increase in deferred revenue as compared to the balance of $1,265 million for the year ended December 31, 2022, is a result of the increase in membership fees billed due to increased memberships.
v3.23.4
Earnings Per Share
 12 Months Ended
Dec. 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 common shares outstanding during the period. Potential common shares consist of incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:
 
 Year Ended December 31,
 202320222021
 (in thousands, except per share data)
Basic earnings per share:
Net income$5,407,990 $4,491,924 $5,116,228 
Shares used in computation:
Weighted-average shares of common stock outstanding441,571 444,698 443,155 
Basic earnings per share$12.25 $10.10 $11.55 
Diluted earnings per share:
Net income$5,407,990 $4,491,924 $5,116,228 
Shares used in computation:
Weighted-average shares of common stock outstanding441,571 444,698 443,155 
Employee stock options 7,927 6,592 12,217 
Weighted-average number of shares449,498 451,290 455,372 
Diluted earnings per share
$12.03 $9.95 $11.24 
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 common shares excluded from the diluted calculation:
 
 Year Ended December 31,
 202320222021
 (in thousands)
Employee stock options4,109 6,790 348 
v3.23.4
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments
 12 Months Ended
Dec. 31, 2023
Short-Term Investments And Fair Value Measurement [Abstract]  
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments Cash, Cash Equivalents, Restricted Cash, and Short-term Investments
The Company classifies short-term investments, which consist of marketable securities with original maturities in excess of 90 days as available-for-sale. 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 December 31, 2023 and 2022:
 As of December 31, 2023
 Cash and cash equivalentsShort-term investments Other Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$5,986,629 $— $1,466 $81 $5,988,176 
Level 1 securities:
Money market funds925,652 — — 55 925,707 
Level 2 securities:
Time Deposits (1)204,632 20,973 — — 225,605 
$7,116,913 $20,973 $1,466 $136 $7,139,488 
(1) The majority of the Company's time deposits are international deposits, which mature within one year.

 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 (2)505,766 911,276 — — 1,417,042 
$5,147,176 $911,276 $3,410 $19,996 $6,081,858 
(2) 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 for the years ended December 31, 2023 and 2022.
v3.23.4
Balance Sheet Components
 12 Months Ended
Dec. 31, 2023
Balance Sheet Related Disclosures [Abstract]  
Balance Sheet Components Balance Sheet Components
Content Assets, Net
Content assets consisted of the following:
As of December 31,
20232022
(in thousands)
Licensed content, net
$12,722,701 $12,732,549 
Produced content, net
Released, less amortization
9,843,150 9,110,518 
In production
8,247,578 10,255,940 
In development and pre-production
844,627 637,706 
18,935,355 20,004,164 

Content assets, net$31,658,056 $32,736,713 
As of December 31, 2023, approximately $5,777 million, $2,860 million, and $1,842 million of the $12,723 million unamortized cost of the licensed content is expected to be amortized in each of the next three years. As of December 31, 2023, approximately $3,766 million, $2,622 million, and $1,793 million of the $9,843 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 December 31, 2023, the amount of accrued participations and residuals was not material.
The following table represents the amortization of content assets:
Year Ended December 31,
 202320222021
(in thousands)
Licensed content$7,145,446 $7,681,978 $8,055,811 
Produced content (1)7,051,991 6,344,154 4,174,556 
Total$14,197,437 $14,026,132 $12,230,367 
(1) Tax incentives earned on qualified production spend generally reduce the cost-basis of content assets and result in lower content amortization over the life of the title. For the years ended December 31, 2023 and 2022, tax incentives resulted in lower content amortization on produced content of approximately $835 million and $719 million, respectively.

Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of December 31,Estimated Useful Lives (in Years)
20232022
(in thousands)
Land$88,429 $85,005 
Buildings150,736 52,106 30 years
Leasehold improvements1,032,492 1,040,570 Over life of lease
Furniture and fixtures144,737 153,682 3 years
Information technology414,092 442,681 3 years
Corporate aircraft99,175 115,578 
8-10 years
Machinery and equipment10,334 26,821 
3-5 years
Capital work-in-progress406,492 235,555 
Property and equipment, gross2,346,487 2,151,998 
Less: Accumulated depreciation(855,043)(753,741)
Property and equipment, net$1,491,444 $1,398,257 
    

Leases
The Company has entered into operating leases primarily for real estate. These leases generally have terms which range from 1 year to 15 years, and often include one or more options to renew. These renewal terms can extend the lease term from 1 year to 20 years, and are included in the lease term when it is reasonably certain that the Company will exercise the option. These 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.  Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. The Company has entered into various short-term operating leases with an initial term of twelve months or less. These leases are not recorded on the Company's Consolidated Balance Sheets. All operating lease expense is recognized on a straight-line basis over the lease term. Because the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate to determine the present value of the lease payments. The Company has certain contracts for real estate which may contain lease and non-lease components which it has elected to treat as a single lease component.
The components of lease costs for the years ended December 31, 2023, 2022 and 2021 were as follows:
Year ended December 31,
 202320222021
(in thousands)
Operating lease cost$430,856 $413,664 $389,805 
Short-term lease cost207,822 194,764 152,765 
Total lease cost$638,678 $608,428 $542,570 

Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Year ended December 31,
202320222021
(in thousands)
Cash paid for operating lease liabilities$451,525 $413,034 $349,586 
Right-of-use assets obtained in exchange for new operating lease obligations196,639 252,393 764,142 
As of December 31,
20232022
(in thousands, except lease term and discount rate)
Operating lease right-of-use assets, net$2,076,899 $2,227,122 
Current operating lease liabilities$383,312 $355,985 
Non-current operating lease liabilities2,046,801 2,222,503 
Total operating lease liabilities$2,430,113 $2,578,488 
Weighted-average remaining lease term7.5 years8.3 years
Weighted-average discount rate3.3 %3.2 %


Maturities of operating lease liabilities as of December 31, 2023 were as follows (in thousands):
Due in 12 month period ended December 31,
2024$460,353 
2025424,897 
2026401,306 
2027340,245 
2028282,465 
Thereafter827,117 
2,736,383 
Less imputed interest(306,270)
Total operating lease liabilities$2,430,113 
The Company has additional operating leases for real estate of $343 million which have not commenced as of December 31, 2023, and as such, have not been recognized on the Company's Consolidated Balance Sheets. These operating leases are expected to commence in 2024 with lease terms between 2 and 11 years.


Other Current Assets
Other current assets consisted of the following:
As of
December 31,
2023		December 31,
2022
(in thousands)
Trade receivables
$1,287,054 $988,898 
Prepaid expenses
408,936 392,735 
Other (1)
1,084,257 1,826,388 
Total other current assets
$2,780,247 $3,208,021 
(1) $555 million and $598 million of receivables related to tax incentives earned on production spend are included in Other as of December 31, 2023 and 2022, respectively.
The decrease in Other was primarily driven by receipt of amounts due under a modified content licensing arrangement.
v3.23.4
Debt
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Debt Debt
As of December 31, 2023, the Company had aggregate outstanding notes of $14,543 million, net of $65 million of issuance costs, with varying maturities (the "Notes"). Of the outstanding balance, $400 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 long-term 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 $176 million for the year ended December 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 December 31, 2023 and December 31, 2022:

Principal Amount at ParLevel 2 Fair Value as of
December 31,
2023		December 31,
2022		Issuance DateMaturityDecember 31,
2023		December 31,
2022
(in millions)(in millions)
5.750% Senior Notes
$400 $400 February 2014March 2024$400 $404 
5.875% Senior Notes
800 800 February 2015February 2025807 811 
3.000% Senior Notes (1)
519 503 April 2020June 2025516 495 
3.625% Senior Notes
500 500 April 2020June 2025491 479 
4.375% Senior Notes
1,000 1,000 October 2016November 2026996 980 
3.625% Senior Notes (1)
1,434 1,391 May 2017May 20271,454 1,338 
4.875% Senior Notes
1,600 1,600 October 2017April 20281,621 1,557 
5.875% Senior Notes
1,900 1,900 April 2018November 20282,009 1,930 
4.625% Senior Notes (1)
1,215 1,177 October 2018May 20291,300 1,151 
6.375% Senior Notes
800 800 October 2018May 2029872 830 
3.875% Senior Notes (1)
1,325 1,284 April 2019November 20291,372 1,201 
5.375% Senior Notes
900 900 April 2019November 2029931 885 
3.625% Senior Notes (1)
1,215 1,177 October 2019June 20301,237 1,078 
4.875% Senior Notes
1,000 1,000 October 2019June 20301,012 944 
$14,608 $14,432 $15,018 $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 December 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 December 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 0.50% 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 December 31, 2023 and December 31, 2022, the Company was in compliance with all related covenants.
v3.23.4
Derivative Financial Instruments
 12 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
In the fiscal year ended December 31, 2023, the Company entered into derivative financial instruments to manage foreign exchange risk related to its ongoing business operations with the primary objective of reducing operating income and cash flow volatility associated with fluctuations in foreign exchange rates. The Company did not use any derivative instruments prior to the fiscal year ended December 31, 2023.

Notional Amount of Derivative Contracts
The net notional amounts of the Company’s outstanding derivative instruments were as follows:
As of December 31,
20232022
(in thousands)
Derivatives designated as hedging instruments:
Foreign exchange contracts
Cash flow hedges
$8,783,273 $— 
Total
$8,783,273 $— 
Fair Value of Derivative Contracts
The fair value of the Company’s outstanding derivative instruments were as follows:

 As of December 31, 2023
Derivative AssetsDerivative Liabilities
 Other current assetsOther non-current assetsAccrued expenses and other liabilitiesOther non-current liabilities
 (in thousands)
Derivatives designated as hedging instruments:
Foreign exchange contracts$26,416 $4,518 $140,089 $46,575 
Total$26,416 $4,518 $140,089 $46,575 
The Company classifies derivative instruments in the Level 2 category within the fair value hierarchy. These instruments are valued using industry standard valuation models that use observable inputs such as interest rate yield curves, and forward and spot prices for currencies.
As of December 31, 2023, the pre-tax net accumulated loss on our foreign currency cash flow hedges included in AOCI on the Consolidated Balance Sheets expected to be recognized in earnings within the next 12 months is $128 million.
Master Netting Agreements
In order to mitigate counterparty credit risk, the Company enters into master netting agreements with its counterparties for its foreign currency exchange contracts, which permit the parties to settle amounts on a net basis under certain conditions. The Company has elected to present its derivative assets and liabilities on a gross basis on its Consolidated Balance Sheets.
The Company also enters into collateral security arrangements with its counterparties that require the parties to post cash collateral when certain contractual thresholds are met. No cash collateral was received or posted by the Company as of December 31, 2023.
The potential offsetting effect to the Company’s derivative assets and liabilities under its master netting agreements and collateral security agreements were as follows:

 As of December 31, 2023
Gross Amount Not Offset in the Consolidated Balance Sheets
 Gross Amount Recognized in the Consolidated Balance SheetsGross Amount Offset in the Consolidated Balance SheetsNet Amount Presented in the Consolidated Balance SheetsFinancial InstrumentsCollateral Received and PostedNet Amount
 (in thousands)
Derivative assets$30,934 $— $30,934 $(27,246)$— $3,688 
Derivative liabilities186,664 — 186,664 (27,246)— 159,418 
Effect of Derivative Instruments on Consolidated Financial Statements
The pre-tax gains (losses) on the Company’s cash flow hedges recognized in AOCI were as follows:
Year Ended December 31,
202320222021
(in thousands)
Cash flow hedges:
Foreign exchange contracts (1)
Amount included in the assessment of effectiveness$(155,730)$— $— 
Total$(155,730)$— $— 
(1) No amounts were excluded from the assessment of effectiveness.
No gains or losses on derivative instruments were reclassified from AOCI into the Consolidated Statements of Operations in the year ended December 31, 2023.
v3.23.4
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Content
At December 31, 2023, the Company had $21.7 billion of obligations comprised of $4.5 billion included in "Current content liabilities" and $2.6 billion of "Non-current content liabilities" on the Consolidated Balance Sheets and $14.6 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not yet meet the criteria for recognition.
At 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 recognition.
The expected timing of payments for these content obligations is as follows:
As of December 31,
20232022
 (in thousands)
Less than one year$10,328,923 $10,038,483 
Due after one year and through 3 years8,784,302 9,425,551 
Due after 3 years and through 5 years2,016,358 2,124,307 
Due after 5 years583,766 243,606 
Total content obligations$21,713,349 $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.

Non-Income Taxes
The Company is routinely under audit by various tax authorities with regard to non-income tax matters. The subject matter of non-income tax audits primarily arises from disputes on the tax treatment and tax rate applied to our revenue in certain jurisdictions. We accrue non-income taxes that may result from examinations by, or any negotiated agreements with, these tax authorities when a loss is probable and reasonably estimable.
Similar to other U.S. companies doing business in Brazil, the Company is involved in a number of matters with Brazilian tax authorities regarding non-income tax assessments. Although the Company believes it has meritorious defenses to these matters, there is inherent complexity and uncertainty with respect to these matters, and the final outcome may be materially different from our expectations. The current potential exposure with respect to the various issues with Brazilian tax authorities regarding non-income tax assessments is estimated to be approximately $300 million, which is expected to increase over time.

Guarantees—Indemnification Obligations
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 guarantees.
v3.23.4
Stockholders' Equity
 12 Months Ended
Dec. 31, 2023
Stockholders' Equity Note [Abstract]  
Stockholders' Equity Stockholders’ Equity
Voting Rights
The holders of each share of common stock shall be entitled to one vote per share on all matters to be voted upon by the Company’s stockholders.
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:
 
 Shares 
Available
for Grant		Options Outstanding
 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, 202021,702,085 18,676,810 $170.23 
Granted(1,556,725)1,556,725 554.11 
Exercised— (2,632,324)65.97 
Expired— (5,360)34.63 
Balances as of December 31, 202120,145,360 17,595,851 $219.83 
Granted(3,691,257)3,691,257 267.94 
Exercised— (1,383,669)27.19 
Expired— (6,578)11.10 
Balances as of December 31, 202216,454,103 19,896,861 $242.22 
Granted(1,729,218)1,729,218 372.49 
Exercised— (1,926,598)87.30 
Expired— (4,372)36.39 
Balances as of December 31, 202314,724,885 19,695,109 $268.86 5.35$4,429,404 
Vested and expected to vest as of December 31, 2023
19,695,109 $268.86 5.35$4,429,404 
Exercisable as of December 31, 2023
19,447,739 $267.37 5.30$4,404,586 
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 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 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:
Year Ended December 31,
202320222021
(in thousands)
Total intrinsic value of options exercised$610,594 $345,839 $1,362,599 
Cash received from options exercised169,990 35,746 174,414 
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:
 
 Year Ended December 31,
 202320222021
Dividend yield— %— %— %
Expected volatility
40% - 46%
38% - 52%
34% - 41%
Risk-free interest rate
3.57% - 4.56%
1.71% - 3.79%
1.08% - 1.62%
Suboptimal exercise factor
4.22 - 4.30
4.71 - 4.82
3.81 - 3.98
Valuation data:
Weighted-average fair value (per share)$211.27 $155.88 $259.01 
Total stock-based compensation expense (in thousands)339,368 575,452 403,220 
Total income tax impact on provision (in thousands)61,588 127,289 89,642 

The Company considers several factors in determining the suboptimal exercise factor, including the historical and estimated option exercise behavior.
The Company calculates expected volatility based solely on implied volatility. The Company believes that implied volatility of publicly traded options in its common stock is more reflective of market conditions, and given consistently high trade volumes of the options, can reasonably be expected to be a better indicator of expected volatility than historical volatility of its common stock.
In valuing shares issued under the Company’s employee stock option plans, the Company bases the risk-free interest rate on U.S. Treasury zero-coupon issues with terms similar to the contractual term of the options. The Company does not anticipate paying any cash dividends in the foreseeable future and therefore uses an expected dividend yield of zero in the option valuation model. The Company does not use a post-vesting termination rate as options are generally fully vested upon grant date.
The total fair value of stock options that vested during the year ended December 31, 2023 was $311 million. The Company did not grant any stock options subject to vesting conditions in the years ended December 31, 2022 and 2021. As of December 31, 2023, $26 million of total unrecognized compensation cost related to nonvested stock options is expected to be recognized over a weighted-average period of 0.45 years.

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, and in September 2023, the Board of Directors increased the share repurchase authorization by an additional $10 billion, also 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 year ended December 31, 2023, the Company repurchased 14,513,790 shares for an aggregate amount of $6,045 million. As of December 31, 2023, $8.4 billion remains available for repurchases. Shares repurchased by the Company are accounted for when the transaction is settled. Direct costs incurred to acquire the shares are included in the total cost of the shares.
Accumulated Other Comprehensive Income (Loss)
The following table summarizes the changes in accumulated balances of other comprehensive income (loss), net of tax:
Foreign Currency Translation
Adjustments		Change in Unrealized Gains (Losses) on Cash Flow HedgesTotal
(in thousands)
Balances as of December 31, 2020
$44,398 $— $44,398 
Other comprehensive income (loss) before reclassifications
(84,893)— (84,893)
Balances as of December 31, 2021
(40,495)— (40,495)
Other comprehensive income (loss) before reclassifications
(176,811)— (176,811)
Balances as of December 31, 2022
(217,306)— (217,306)
Other comprehensive income (loss) before reclassifications
113,384 (120,023)(6,639)
Balances as of December 31, 2023
$(103,922)$(120,023)$(223,945)
v3.23.4
Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income before provision for income taxes was as follows:
 Year Ended December 31,
 202320222021
 (in thousands)
United States$5,602,762 $4,623,218 $5,349,749 
Foreign602,643 640,711 490,354 
Income before income taxes$6,205,405 $5,263,929 $5,840,103 
The components of provision for income taxes for all periods presented were as follows:
 
 Year Ended December 31,
 202320222021
 (in thousands)
Current tax provision:
Federal$854,170 $109,910 $57,526 
State181,684 119,795 109,641 
Foreign304,539 676,827 357,189 
Total current1,340,393 906,532 524,356 
Deferred tax provision:
Federal(412,760)(52,434)188,937 
State(55,475)(30,691)(2,700)
Foreign(74,743)(51,402)13,282 
Total deferred(542,978)(134,527)199,519 
Provision for income taxes$797,415 $772,005 $723,875 
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory Federal income tax rate to income before income taxes is as follows:
 Year Ended December 31,
 202320222021
 (in thousands)
Expected tax expense at U.S. Federal statutory tax rate$1,303,123 $1,105,428 $1,226,422 
State income taxes, net of Federal income tax effect104,717 92,084 111,400 
Foreign earnings at other than U.S. rates(32,292)104,665 (86,489)
Research and development tax credit(87,036)(146,615)(82,909)
Excess tax benefits on stock-based compensation(119,043)(75,211)(290,899)
Foreign-derived intangible income deduction(426,597)(361,013)(192,238)
Nontaxable and nondeductible items41,782 44,046 37,144 
Other12,761 8,621 1,444 
Provision for income taxes$797,415 $772,005 $723,875 
Effective Tax Rate13 %15 %12 %

The components of deferred tax assets and liabilities were as follows:
 
 As of December 31,
 20232022
 (in thousands)
Deferred tax assets:
Stock-based compensation$486,876 $443,456 
Tax credits and net operating loss carryforwards544,431 409,411 
Capitalized research expenses593,439 323,998 
Accruals and reserves137,251 119,732 
Operating lease liabilities516,574 551,418 
Unrealized losses62,213 — 
Other11,615 2,234 
Total deferred tax assets2,352,399 1,850,249 
Valuation allowance(442,293)(343,342)
Net deferred tax assets1,910,106 1,506,907 
Deferred tax liabilities:
Depreciation & amortization(357,477)(456,717)
Operating right-of-use lease assets(435,216)(473,928)
Unrealized gains— (47,283)
       Acquired intangibles(233,433)(267,438)
       Other(9,430)— 
Total deferred tax liabilities(1,035,556)(1,245,366)
Net deferred tax assets$874,550 $261,541 
The following table shows the deferred tax assets and liabilities within our Consolidated Balance Sheets:
 As of December 31,
 20232022
 (in thousands)
Total deferred tax assets:
Other non-current assets$1,000,760 $261,541 
Total deferred tax liabilities:
Other non-current liabilities(126,210)— 
Net deferred tax assets$874,550 $261,541 
As of December 31, 2023, for tax return purposes, the Company had $582 million of California R&D tax credit carryforwards which can be carried forward indefinitely, $838 million of state net operating loss carryforwards which will begin to expire in 2026, $19 million of foreign tax credit carryforwards which will begin to expire in 2033, and $421 million of foreign net operating loss carryforwards which will begin to expire in 2024.
In evaluating its ability to realize the net deferred tax assets, the Company considered all available positive and negative evidence, including its past operating results and the forecast of future market growth, forecasted earnings, future taxable income, and prudent and feasible tax planning strategies. As of December 31, 2023, the valuation allowance of $442 million was primarily related to California R&D tax credits, state net operating loss carryforwards, and foreign tax credits that the Company does not expect to realize.
At December 31, 2023, we have not provided for applicable U.S. income and foreign withholding taxes on approximately $52 million of our foreign undistributed earnings because such earnings are intended to be indefinitely reinvested. At December 31, 2023, we provided taxes and recorded a deferred tax liability on our undistributed foreign earnings for which we are not indefinitely reinvested.
The unrecognized tax benefits that are not expected to result in payment or receipt of cash within one year are classified as “Other non-current liabilities” and a reduction of deferred tax assets which is classified as "Other non-current assets" in the Consolidated Balance Sheets. As of December 31, 2023 and 2022, the total amount of gross unrecognized tax benefits was $327 million and $227 million, respectively, of which $188 million and $155 million, respectively, if recognized, would favorably impact the Company’s effective tax rate. The aggregate changes in the Company’s total gross amount of unrecognized tax benefits are summarized as follows:
 
As of December 31,
202320222021
(in thousands)
Balance at the beginning of the year$226,977 $202,557 $140,124 
Increases related to tax positions taken during the current period65,630 26,865 35,317 
Increases related to tax positions taken during prior periods76,794 — 27,116 
Decreases related to tax positions taken during prior periods(10,117)(2,445)— 
Decreases related to settlements with taxing authorities(32,179)— — 
Decreases related to expiration of statute of limitations— — — 
Balance at the end of the year$327,105 $226,977 $202,557 
The Company includes interest and penalties related to unrecognized tax benefits within the provision for income taxes and in “Other non-current liabilities” in the Consolidated Balance Sheets. During the years ended December 31, 2023, 2022 and 2021, the Company recorded $25 million, $2 million, and less than $1 million, respectively, of interest and penalties in the provision for income taxes. The amount of interest and penalties accrued at December 31, 2023 and 2022 was $28 million and $3 million, respectively.
The Company files U.S. Federal, state and foreign tax returns. The Company is currently under examination by the IRS for years 2016 through 2018 and is subject to examination for 2019 through 2022. The foreign and state tax returns for years 2016 through 2022 are subject to examination by various state and foreign jurisdictions. While the Company is in various stages of inquiry and examination with certain taxing authorities and we believe that our tax positions will more likely than not be sustained, it is nonetheless possible that future obligations related to these matters could arise. We believe that adequate amounts have been reserved for any adjustments that may ultimately result from an examination.
Given the potential outcome of current examinations, 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.
v3.23.4
Employee Benefit Plan
 12 Months Ended
Dec. 31, 2023
Retirement Benefits [Abstract]  
Employee Benefit Plan Employee Benefit Plan
The Company maintains a 401(k) savings plan covering substantially all of its employees. Eligible employees may contribute up to 80% of their annual salary through payroll deductions, but not more than the statutory limits set by the Internal Revenue Service. The Company matches employee contributions at the discretion of the Board. During the years ended December 31, 2023, 2022 and 2021, the Company’s matching contributions totaled $114 million, $102 million and $85 million, respectively.
Multiemployer Benefit Plans
The Company contributes to various multiemployer defined pension plans under the terms of collective bargaining agreements that cover our union-represented employees. The risks of participating in multiemployer pension plans are different from single-employer plans such that (i) contributions made by the Company to the multiemployer pension plans may be used to provide benefits to employees of other participating employers; (ii) if the Company chooses to stop participating in the multiemployer pension plans, it may be required to pay those plans an amount based on the underfunded status of the plan; and (iii) if a company stops contributing to the multiemployer pension plan, the unfunded obligations of the plan may become the obligation of the remaining participating employers. The Company also contributes to various other multiemployer benefit plans that provide health and welfare benefits to both active and retired participants. The Company does not participate in any multiemployer benefit plans that are individually significant to the Company.
The following table summarizes the Company's contributions to multiemployer pension and health plans for the years ended December 31, 2023, 2022 and 2021, respectively:
 Year Ended December 31,
 202320222021
 (in thousands)
Pension benefits$57,285 $127,885 $111,133 
Health benefits85,157 96,285 83,153 
Total contributions$142,442 $224,170 $194,286 
v3.23.4
Segment and Geographic Information
 12 Months Ended
Dec. 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 purposes of making operating decisions, assessing financial performance and allocating resources.
    Total U.S. revenues were $13.8 billion, $13.0 billion and $12.1 billion for the years ended December 31, 2023, 2022 and 2021, 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 were located as follows:
As of December 31,
20232022
(in thousands)
United States$2,724,710 $2,745,071 
International843,633 880,308 
v3.23.4
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Pay vs Performance Disclosure      
Net Income (Loss) $ 5,407,990 $ 4,491,924 $ 5,116,228
v3.23.4
Insider Trading Arrangements
 3 Months Ended 12 Months Ended
Dec. 31, 2023
shares
Dec. 31, 2023
shares
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
The adoption or termination of contracts, instructions or written plans for the purchase or sale of our securities by our Section 16 officers and directors for the three months ended December 31, 2023, each of which is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act (“Rule 10b5-1 Plan”), were as follows:
NameTitleActionDate AdoptedExpiration DateAggregate # of Securities to be Purchased/Sold
Ted Sarandos (1)
Co-CEO and DirectorAdoption11/10/20232/7/202568,957
(1) Ted Sarandos, co-CEO and a member of the Board of Directors, entered into a pre-arranged stock trading plan pursuant to Rule 10b5-1 on November 10, 2023. Mr. Sarandos' plan provides for the potential exercise of vested stock options and the associated sale of up to 68,957 shares of Netflix common stock. The plan expires on February 7, 2025, or upon the earlier completion of all authorized transactions under the plan.
Other than those disclosed above, none of our directors or officers adopted or terminated a "non-Rule 10b5-1 trading arrangement" as defined in Item 408 of Regulation S-K.
Non-Rule 10b5-1 Arrangement Adopted false  
Non-Rule 10b5-1 Arrangement Terminated false  
Ted Sarandos [Member]    
Trading Arrangements, by Individual    
Name Ted Sarandos (1)  
Title Co-CEO and Director  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date 11/10/2023  
Aggregate Available 68,957 68,957
Officers and Directors Trading Arrangement [Member] | Ted Sarandos [Member]    
Trading Arrangements, by Individual    
Arrangement Duration 455 days  
v3.23.4
Organization and Summary of Significant Accounting Policies (Policy)
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
Basis of Presentation
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany balances and transactions have been eliminated.
Use of Estimates
Use of Estimates
The preparation of consolidated financial statements in conformity with generally accepted accounting principles ("GAAP") in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant items subject to such estimates and assumptions include the content asset amortization policy 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 an ongoing basis, the Company evaluates these assumptions, judgments and estimates. Actual results may differ from these estimates
Recently issued accounting pronouncements not yet adopted
Recently issued accounting pronouncements not yet adopted
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires public entities to disclose information about their reportable segments’ significant expenses and other segment items on an interim and annual basis. Public entities with a single reportable segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation requirements in ASC 280 on an interim and annual basis. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU 2023-07.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires public entities, on an annual basis, to provide disclosure of specific categories in the rate reconciliation, as well as disclosure of income taxes paid disaggregated by jurisdiction. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU 2023-09.
Cash Equivalents and Short-term Investments
Cash Equivalents and Short-term Investments
The Company considers investments in instruments purchased with an original maturity of 90 days or less to be cash equivalents. The Company also classifies amounts in transit from payment processors for customer credit card and debit card transactions that it expects to settle within several days as cash equivalents.
The Company classifies short-term investments, which consist of marketable securities with original maturities in excess of 90 days as available-for-sale. Short-term investments are reported at fair value, with allowances for credit losses included in “Interest and other income (expense)” in the Consolidated Statements of Operations and unrealized gains and losses included in “Accumulated other comprehensive income (loss)” within Stockholders’ equity in the Consolidated Balance Sheets. The Company uses the specific identification method to determine cost in calculating realized gains and losses upon the sale of short-term investments.
Short-term investments are reviewed periodically for allowances for credit losses and impairment. When evaluating the investments, the Company reviews factors such as the extent to which the fair value of the security is less than the amortized cost basis, adverse conditions specifically related to the security, the financial condition of the issuer, the Company’s intent to sell, and whether it would be more likely than not that the Company would be required to sell the investments before the recovery of their amortized cost basis.
Content
Content
The Company acquires, licenses and produces content, including original programming, in order to offer members unlimited viewing of video entertainment. The content licenses are for a fixed fee and specific windows of availability. Payment terms for certain content licenses and the production of content require more upfront cash payments relative to the amortization expense. Payments for content, including additions to content assets and the changes in related liabilities, are classified within "Net cash provided by operating activities" on the Consolidated Statements of Cash Flows.
The Company recognizes content assets (licensed and produced) as “Content assets, net” on the Consolidated Balance Sheets. For licensed content, the Company capitalizes the fee per title and records a corresponding liability at the gross amount of the liability when the license period begins, the cost of the title is known and the title is accepted and available for streaming. For produced content, the Company capitalizes costs associated with the production, including development costs, direct costs and production overhead. Participations and residuals are expensed in line with the amortization of production costs.
Based on factors including historical and estimated viewing patterns, the Company amortizes the content assets (licensed and produced) in “Cost of revenues” on the Consolidated Statements of Operations over the shorter of each title's contractual window of availability or estimated period of use or ten years, beginning with the month of first availability. The amortization is on an accelerated basis, as the Company typically expects more upfront viewing, and film amortization is more accelerated than TV series amortization. On average, over 90% of a licensed or produced content asset is expected to be amortized within four years after its month of first availability. The Company reviews factors impacting the amortization of the content assets on a regular basis. The Company's estimates related to these factors require considerable management judgment.
In the normal course of business, the Company, or a third-party producing content on the Company's behalf, may qualify for tax incentives through eligible spend on productions. The accounting for tax incentives is dependent on the particular type of incentive, including the nature of the benefit and the location the incentive is earned. In general, tax incentives are realized as cash receipts and may be received prior to or after a title launches on the Company’s service. Upon a title’s launch, any amounts the Company is eligible for through qualified production spend but has not received, are recognized in “Other current assets” or “Other non-current assets” on the Company’s Consolidated Balance Sheets as receivables. Tax incentives are generally accounted for as a reduction to the cost basis of the Company’s content assets (presented in “Content assets, net”) and reduce content amortization over the life of the title (as presented in “Cost of revenues”) on the Consolidated Statements of Operations.
The Company's business model is subscription based as opposed to a model generating revenues at a specific title level. Content assets (licensed and produced) are predominantly monetized as a group and therefore are reviewed in aggregate at a group level when an event or change in circumstances indicates a change in the expected usefulness of the content or that the fair value may be less than unamortized cost. To date, the Company has not identified any such event or changes in circumstances. If such changes are identified in the future, these aggregated content assets will be stated at the lower of unamortized cost or fair value. In addition, unamortized costs for assets that have been, or are expected to be, abandoned are written off.
Acquisitions
Acquisitions
The Company uses its best estimates and assumptions to assign fair value to the tangible and intangible assets acquired and liabilities assumed at the acquisition date. In addition, uncertain tax positions, tax-related valuation allowances and pre-acquisition contingencies are initially recorded in connection with a business combination as of the acquisition date.
Property and Equipment
Property and Equipment
Property and equipment are carried at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the shorter of the estimated useful lives of the respective assets, generally up to 30 years, or the expected lease term for leasehold improvements, if applicable.
Trade Receivables
Trade Receivables
Trade receivables consist primarily of amounts related to members and payment partners that collect membership fees on the Company's behalf. The Company evaluates the need for an allowance for credit losses based on historical collection trends, the financial condition of its payment partners, and external market factors. The Company's allowance for credit losses was not material as of December 31, 2023 and December 31, 2022.
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. In circumstances in which the price that the member pays is established by a partner and there is no standalone price for the Netflix service (for instance, in a bundle), the net amount collected from the partner is recognized as revenue.
The Company also earns revenue from advertisements presented on its streaming service, consumer products and various other sources. Revenues earned from sources other than monthly membership fees were not material for the years ended December 31, 2023, 2022, and 2021.
Marketing
Marketing
Marketing expenses consist primarily of advertising expenses and certain payments made to the Company’s partners, including CE manufacturers, MVPDs, mobile operators and ISPs. Marketing expenses also include payroll, stock-based compensation, facilities, and other related expenses for personnel that support the Company's sales and marketing activities. Advertising expenses include promotional activities such as digital and television advertising. Advertising costs are expensed as incurred.
Income Taxes
Income Taxes
The Company records a provision for income taxes for the anticipated tax consequences of the reported results of operations using the asset and liability method. Deferred income taxes are recognized by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases as well as net operating loss and tax credit carryforwards. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The measurement of deferred tax assets is reduced, if necessary, by a valuation allowance for any tax benefits for which future realization is uncertain. We account for the tax effects of global intangible low tax income as a current period expense.
The Company does not recognize certain tax benefits from uncertain tax positions within the provision for income taxes. The Company may recognize a tax benefit only if it is more likely than not the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such positions are then measured based on the largest benefit that has a greater than 50% likelihood of being realized upon settlement. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense.
Foreign Currency
Foreign Currency
The functional currency for the Company's subsidiaries is determined based on the primary economic environment in which the subsidiary operates. The Company translates the assets and liabilities of its non-U.S. dollar functional currency subsidiaries into U.S. dollars using exchange rates in effect at the end of each period. Revenues and expenses for these subsidiaries are translated using rates that approximate those in effect during the period. Gains and losses from these translations are recognized in cumulative translation adjustment included in "Accumulated other comprehensive income" in Stockholders’ equity on the Consolidated Balance Sheets.
The Company remeasures monetary assets and liabilities that are not denominated in the functional currency at exchange rates in effect at the end of each period. Gains and losses from these remeasurements are recognized in "Interest and other income (expense)" in the Consolidated Statements of Operations.
Derivative Financial Instruments
Derivative Financial Instruments
The Company uses derivative instruments to manage foreign exchange risk related to its ongoing business operations with the primary objective of reducing operating income and cash flow volatility associated with fluctuations in foreign exchange rates.
The Company enters into forward contracts to manage the foreign exchange risk on forecasted revenue transactions denominated in currencies other than the U.S. dollar, as well as the foreign exchange risk on forecasted transactions and firm commitments related to the licensing and production of foreign currency-denominated content assets. These forward contracts
are designated as cash flow hedges of foreign currency firm commitments and forecasted transactions and generally have maturities of 24 months or less. The hedging contracts may reduce, but do not entirely eliminate, the effect of foreign currency exchange movements, and the Company may choose not to hedge certain exposures.
The Company recognizes derivative instruments at fair value as either assets (presented in “Other current assets” and “Other non-current assets”) or liabilities (presented in “Accrued expenses and other liabilities'' and “Other non-current liabilities”) on the Company’s Consolidated Balance Sheets. The Company classifies derivative instruments in the Level 2 category within the fair value hierarchy.
The gain or loss on derivative instruments designated as cash flow hedges of forecasted foreign currency revenue is initially reported as a component of accumulated other comprehensive income (“AOCI") and reclassified into “Revenues” on the Consolidated Statements of Operations in the same period the forecasted transaction affects earnings. The gain or loss on derivative instruments designated as cash flow hedges of firmly committed or forecasted transactions related to the licensing and production of content assets is initially reported as a component of AOCI and reclassified into “Cost of Revenues” on the Consolidated Statements of Operations in the same period the hedged transaction affects earnings, which occurs as the underlying hedged content assets are amortized. Cash flows from hedging activities are classified in the same category as the cash flows for the underlying item being hedged within "Net cash provided by operating activities" on the Consolidated Statements of Cash Flows.
In the event that the likelihood of occurrence of the underlying forecasted transactions is determined to be probable not to occur, the gains or losses on the related cash flow hedges are reclassified from AOCI to “Interest and other income (expense)” in the Consolidated Statements of Operations in the period of dedesignation.
See Note 7 Derivative Financial Instruments to the consolidated financial statements for further information regarding the Company’s derivative financial instruments.
Stock-Based Compensation
Stock-Based Compensation
The Company grants non-qualified stock options to its employees on a monthly basis. Stock-based compensation expense is based on the fair value of the options at the grant date and is recognized, net of forfeitures, over the requisite service period.
v3.23.4
Revenue Recognition (Tables)
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of Streaming Revenue, Paid Net Membership Additions, and Ending Paid Memberships by Region
The following tables summarize streaming revenues, paid net membership additions (losses), and ending paid memberships by region for the years ended December 31, 2023, 2022 and 2021, respectively:

United States and Canada (UCAN)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$14,873,783 $14,084,643 $12,972,100 
Paid net membership additions (losses)5,832 (919)1,279 
Paid memberships at end of period (1)80,128 74,296 75,215 

Europe, Middle East, and Africa (EMEA)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$10,556,487 $9,745,015 $9,699,819 
Paid net membership additions12,084 2,693 7,338 
Paid memberships at end of period (1)88,813 76,729 74,036 
Latin America (LATAM)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$4,446,461 $4,069,973 $3,576,976 
Paid net membership additions4,298 1,738 2,424 
Paid memberships at end of period (1)45,997 41,699 39,961 


Asia-Pacific (APAC)
As of/Year Ended December 31,
 202320222021
 (in thousands)
Revenues$3,763,727 $3,570,221 $3,266,601 
Paid net membership additions7,315 5,391 7,140 
Paid memberships at end of period (1)45,338 38,023 32,632 
(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.
v3.23.4
Earnings Per Share (Tables)
 12 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Schedule of Computation of Earnings Per Share The computation of earnings per share is as follows:
 
 Year Ended December 31,
 202320222021
 (in thousands, except per share data)
Basic earnings per share:
Net income$5,407,990 $4,491,924 $5,116,228 
Shares used in computation:
Weighted-average shares of common stock outstanding441,571 444,698 443,155 
Basic earnings per share$12.25 $10.10 $11.55 
Diluted earnings per share:
Net income$5,407,990 $4,491,924 $5,116,228 
Shares used in computation:
Weighted-average shares of common stock outstanding441,571 444,698 443,155 
Employee stock options 7,927 6,592 12,217 
Weighted-average number of shares449,498 451,290 455,372 
Diluted earnings per share
$12.03 $9.95 $11.24 
Schedule of Potential Common Shares Excluded from Diluted Calculation The following table summarizes the potential common shares excluded from the diluted calculation:
 
 Year Ended December 31,
 202320222021
 (in thousands)
Employee stock options4,109 6,790 348 
v3.23.4
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments (Tables)
 12 Months Ended
Dec. 31, 2023
Short-Term Investments And Fair Value Measurement [Abstract]  
Schedule of Cash and Cash Equivalents
The following tables summarize the Company's cash, cash equivalents, restricted cash and short-term investments as of December 31, 2023 and 2022:
 As of December 31, 2023
 Cash and cash equivalentsShort-term investments Other Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$5,986,629 $— $1,466 $81 $5,988,176 
Level 1 securities:
Money market funds925,652 — — 55 925,707 
Level 2 securities:
Time Deposits (1)204,632 20,973 — — 225,605 
$7,116,913 $20,973 $1,466 $136 $7,139,488 
(1) The majority of the Company's time deposits are international deposits, which mature within one year.

 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 (2)505,766 911,276 — — 1,417,042 
$5,147,176 $911,276 $3,410 $19,996 $6,081,858 
(2) The majority of the Company's time deposits are domestic deposits, which mature within one year.
Schedule of Cash, Restricted Cash and Short-term Investments
The following tables summarize the Company's cash, cash equivalents, restricted cash and short-term investments as of December 31, 2023 and 2022:
 As of December 31, 2023
 Cash and cash equivalentsShort-term investments Other Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$5,986,629 $— $1,466 $81 $5,988,176 
Level 1 securities:
Money market funds925,652 — — 55 925,707 
Level 2 securities:
Time Deposits (1)204,632 20,973 — — 225,605 
$7,116,913 $20,973 $1,466 $136 $7,139,488 
(1) The majority of the Company's time deposits are international deposits, which mature within one year.

 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 (2)505,766 911,276 — — 1,417,042 
$5,147,176 $911,276 $3,410 $19,996 $6,081,858 
(2) The majority of the Company's time deposits are domestic deposits, which mature within one year.
v3.23.4
Balance Sheet Components (Tables)
 12 Months Ended
Dec. 31, 2023
Balance Sheet Related Disclosures [Abstract]  
Schedule off Content Assets
Content assets consisted of the following:
As of December 31,
20232022
(in thousands)
Licensed content, net
$12,722,701 $12,732,549 
Produced content, net
Released, less amortization
9,843,150 9,110,518 
In production
8,247,578 10,255,940 
In development and pre-production
844,627 637,706 
18,935,355 20,004,164 

Content assets, net$31,658,056 $32,736,713 
Schedule of Amortization of Streaming Content Assets
The following table represents the amortization of content assets:
Year Ended December 31,
 202320222021
(in thousands)
Licensed content$7,145,446 $7,681,978 $8,055,811 
Produced content (1)7,051,991 6,344,154 4,174,556 
Total$14,197,437 $14,026,132 $12,230,367 
(1) Tax incentives earned on qualified production spend generally reduce the cost-basis of content assets and result in lower content amortization over the life of the title. For the years ended December 31, 2023 and 2022, tax incentives resulted in lower content amortization on produced content of approximately $835 million and $719 million, respectively.
Schedule of Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of December 31,Estimated Useful Lives (in Years)
20232022
(in thousands)
Land$88,429 $85,005 
Buildings150,736 52,106 30 years
Leasehold improvements1,032,492 1,040,570 Over life of lease
Furniture and fixtures144,737 153,682 3 years
Information technology414,092 442,681 3 years
Corporate aircraft99,175 115,578 
8-10 years
Machinery and equipment10,334 26,821 
3-5 years
Capital work-in-progress406,492 235,555 
Property and equipment, gross2,346,487 2,151,998 
Less: Accumulated depreciation(855,043)(753,741)
Property and equipment, net$1,491,444 $1,398,257 
Schedule of Information on Right-of-Use Assets and Lease Liabilities
The components of lease costs for the years ended December 31, 2023, 2022 and 2021 were as follows:
Year ended December 31,
 202320222021
(in thousands)
Operating lease cost$430,856 $413,664 $389,805 
Short-term lease cost207,822 194,764 152,765 
Total lease cost$638,678 $608,428 $542,570 

Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Year ended December 31,
202320222021
(in thousands)
Cash paid for operating lease liabilities$451,525 $413,034 $349,586 
Right-of-use assets obtained in exchange for new operating lease obligations196,639 252,393 764,142 
As of December 31,
20232022
(in thousands, except lease term and discount rate)
Operating lease right-of-use assets, net$2,076,899 $2,227,122 
Current operating lease liabilities$383,312 $355,985 
Non-current operating lease liabilities2,046,801 2,222,503 
Total operating lease liabilities$2,430,113 $2,578,488 
Weighted-average remaining lease term7.5 years8.3 years
Weighted-average discount rate3.3 %3.2 %
Schedule of Maturities of Lease Liabilities
Maturities of operating lease liabilities as of December 31, 2023 were as follows (in thousands):
Due in 12 month period ended December 31,
2024$460,353 
2025424,897 
2026401,306 
2027340,245 
2028282,465 
Thereafter827,117 
2,736,383 
Less imputed interest(306,270)
Total operating lease liabilities$2,430,113 
Schedule of Other Current Assets
Other current assets consisted of the following:
As of
December 31,
2023		December 31,
2022
(in thousands)
Trade receivables
$1,287,054 $988,898 
Prepaid expenses
408,936 392,735 
Other (1)
1,084,257 1,826,388 
Total other current assets
$2,780,247 $3,208,021 
(1) $555 million and $598 million of receivables related to tax incentives earned on production spend are included in Other as of December 31, 2023 and 2022, respectively.
v3.23.4
Debt (Tables)
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Schedule 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 December 31, 2023 and December 31, 2022:

Principal Amount at ParLevel 2 Fair Value as of
December 31,
2023		December 31,
2022		Issuance DateMaturityDecember 31,
2023		December 31,
2022
(in millions)(in millions)
5.750% Senior Notes
$400 $400 February 2014March 2024$400 $404 
5.875% Senior Notes
800 800 February 2015February 2025807 811 
3.000% Senior Notes (1)
519 503 April 2020June 2025516 495 
3.625% Senior Notes
500 500 April 2020June 2025491 479 
4.375% Senior Notes
1,000 1,000 October 2016November 2026996 980 
3.625% Senior Notes (1)
1,434 1,391 May 2017May 20271,454 1,338 
4.875% Senior Notes
1,600 1,600 October 2017April 20281,621 1,557 
5.875% Senior Notes
1,900 1,900 April 2018November 20282,009 1,930 
4.625% Senior Notes (1)
1,215 1,177 October 2018May 20291,300 1,151 
6.375% Senior Notes
800 800 October 2018May 2029872 830 
3.875% Senior Notes (1)
1,325 1,284 April 2019November 20291,372 1,201 
5.375% Senior Notes
900 900 April 2019November 2029931 885 
3.625% Senior Notes (1)
1,215 1,177 October 2019June 20301,237 1,078 
4.875% Senior Notes
1,000 1,000 October 2019June 20301,012 944 
$14,608 $14,432 $15,018 $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.
v3.23.4
Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Notional Amounts of Outstanding Foreign Currency Cash Flow Hedges
The net notional amounts of the Company’s outstanding derivative instruments were as follows:
As of December 31,
20232022
(in thousands)
Derivatives designated as hedging instruments:
Foreign exchange contracts
Cash flow hedges
$8,783,273 $— 
Total
$8,783,273 $— 
Schedule of Fair Value of Derivative Contracts
The fair value of the Company’s outstanding derivative instruments were as follows:

 As of December 31, 2023
Derivative AssetsDerivative Liabilities
 Other current assetsOther non-current assetsAccrued expenses and other liabilitiesOther non-current liabilities
 (in thousands)
Derivatives designated as hedging instruments:
Foreign exchange contracts$26,416 $4,518 $140,089 $46,575 
Total$26,416 $4,518 $140,089 $46,575 
Schedule of Offsetting Derivative Assets and Liabilities
The potential offsetting effect to the Company’s derivative assets and liabilities under its master netting agreements and collateral security agreements were as follows:

 As of December 31, 2023
Gross Amount Not Offset in the Consolidated Balance Sheets
 Gross Amount Recognized in the Consolidated Balance SheetsGross Amount Offset in the Consolidated Balance SheetsNet Amount Presented in the Consolidated Balance SheetsFinancial InstrumentsCollateral Received and PostedNet Amount
 (in thousands)
Derivative assets$30,934 $— $30,934 $(27,246)$— $3,688 
Derivative liabilities186,664 — 186,664 (27,246)— 159,418 
Schedule of Gains (Losses) on Cash Flow Hedges Recognized in AOCI
The pre-tax gains (losses) on the Company’s cash flow hedges recognized in AOCI were as follows:
Year Ended December 31,
202320222021
(in thousands)
Cash flow hedges:
Foreign exchange contracts (1)
Amount included in the assessment of effectiveness$(155,730)$— $— 
Total$(155,730)$— $— 
(1) No amounts were excluded from the assessment of effectiveness.
v3.23.4
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Summary of Expected Timing of Payments for Streaming Content Obligations
The expected timing of payments for these content obligations is as follows:
As of December 31,
20232022
 (in thousands)
Less than one year$10,328,923 $10,038,483 
Due after one year and through 3 years8,784,302 9,425,551 
Due after 3 years and through 5 years2,016,358 2,124,307 
Due after 5 years583,766 243,606 
Total content obligations$21,713,349 $21,831,947 
v3.23.4
Stockholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2023
Stockholders' Equity Note [Abstract]  
Schedule of Activity Related to Stock Option Plans
A summary of the activities related to the Company’s stock option plans is as follows:
 
 Shares 
Available
for Grant		Options Outstanding
 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, 202021,702,085 18,676,810 $170.23 
Granted(1,556,725)1,556,725 554.11 
Exercised— (2,632,324)65.97 
Expired— (5,360)34.63 
Balances as of December 31, 202120,145,360 17,595,851 $219.83 
Granted(3,691,257)3,691,257 267.94 
Exercised— (1,383,669)27.19 
Expired— (6,578)11.10 
Balances as of December 31, 202216,454,103 19,896,861 $242.22 
Granted(1,729,218)1,729,218 372.49 
Exercised— (1,926,598)87.30 
Expired— (4,372)36.39 
Balances as of December 31, 202314,724,885 19,695,109 $268.86 5.35$4,429,404 
Vested and expected to vest as of December 31, 2023
19,695,109 $268.86 5.35$4,429,404 
Exercisable as of December 31, 2023
19,447,739 $267.37 5.30$4,404,586 
Schedule of Amounts Related to Option Exercises
A summary of the amounts related to option exercises, is as follows:
Year Ended December 31,
202320222021
(in thousands)
Total intrinsic value of options exercised$610,594 $345,839 $1,362,599 
Cash received from options exercised169,990 35,746 174,414 
Schedule 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:
 
 Year Ended December 31,
 202320222021
Dividend yield— %— %— %
Expected volatility
40% - 46%
38% - 52%
34% - 41%
Risk-free interest rate
3.57% - 4.56%
1.71% - 3.79%
1.08% - 1.62%
Suboptimal exercise factor
4.22 - 4.30
4.71 - 4.82
3.81 - 3.98
Valuation data:
Weighted-average fair value (per share)$211.27 $155.88 $259.01 
Total stock-based compensation expense (in thousands)339,368 575,452 403,220 
Total income tax impact on provision (in thousands)61,588 127,289 89,642 
Schedule of Changes in Accumulated Other Comprehensive Income (Loss)
The following table summarizes the changes in accumulated balances of other comprehensive income (loss), net of tax:
Foreign Currency Translation
Adjustments		Change in Unrealized Gains (Losses) on Cash Flow HedgesTotal
(in thousands)
Balances as of December 31, 2020
$44,398 $— $44,398 
Other comprehensive income (loss) before reclassifications
(84,893)— (84,893)
Balances as of December 31, 2021
(40,495)— (40,495)
Other comprehensive income (loss) before reclassifications
(176,811)— (176,811)
Balances as of December 31, 2022
(217,306)— (217,306)
Other comprehensive income (loss) before reclassifications
113,384 (120,023)(6,639)
Balances as of December 31, 2023
$(103,922)$(120,023)$(223,945)
v3.23.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Taxes
Income before provision for income taxes was as follows:
 Year Ended December 31,
 202320222021
 (in thousands)
United States$5,602,762 $4,623,218 $5,349,749 
Foreign602,643 640,711 490,354 
Income before income taxes$6,205,405 $5,263,929 $5,840,103 
Schedule of Components of Provision for Income Taxes
The components of provision for income taxes for all periods presented were as follows:
 
 Year Ended December 31,
 202320222021
 (in thousands)
Current tax provision:
Federal$854,170 $109,910 $57,526 
State181,684 119,795 109,641 
Foreign304,539 676,827 357,189 
Total current1,340,393 906,532 524,356 
Deferred tax provision:
Federal(412,760)(52,434)188,937 
State(55,475)(30,691)(2,700)
Foreign(74,743)(51,402)13,282 
Total deferred(542,978)(134,527)199,519 
Provision for income taxes$797,415 $772,005 $723,875 
Schedule of Reconciliation of Provision for Income Taxes
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory Federal income tax rate to income before income taxes is as follows:
 Year Ended December 31,
 202320222021
 (in thousands)
Expected tax expense at U.S. Federal statutory tax rate$1,303,123 $1,105,428 $1,226,422 
State income taxes, net of Federal income tax effect104,717 92,084 111,400 
Foreign earnings at other than U.S. rates(32,292)104,665 (86,489)
Research and development tax credit(87,036)(146,615)(82,909)
Excess tax benefits on stock-based compensation(119,043)(75,211)(290,899)
Foreign-derived intangible income deduction(426,597)(361,013)(192,238)
Nontaxable and nondeductible items41,782 44,046 37,144 
Other12,761 8,621 1,444 
Provision for income taxes$797,415 $772,005 $723,875 
Effective Tax Rate13 %15 %12 %
Schedule of Deferred Tax Assets and Liabilities
The components of deferred tax assets and liabilities were as follows:
 
 As of December 31,
 20232022
 (in thousands)
Deferred tax assets:
Stock-based compensation$486,876 $443,456 
Tax credits and net operating loss carryforwards544,431 409,411 
Capitalized research expenses593,439 323,998 
Accruals and reserves137,251 119,732 
Operating lease liabilities516,574 551,418 
Unrealized losses62,213 — 
Other11,615 2,234 
Total deferred tax assets2,352,399 1,850,249 
Valuation allowance(442,293)(343,342)
Net deferred tax assets1,910,106 1,506,907 
Deferred tax liabilities:
Depreciation & amortization(357,477)(456,717)
Operating right-of-use lease assets(435,216)(473,928)
Unrealized gains— (47,283)
       Acquired intangibles(233,433)(267,438)
       Other(9,430)— 
Total deferred tax liabilities(1,035,556)(1,245,366)
Net deferred tax assets$874,550 $261,541 
The following table shows the deferred tax assets and liabilities within our Consolidated Balance Sheets:
 As of December 31,
 20232022
 (in thousands)
Total deferred tax assets:
Other non-current assets$1,000,760 $261,541 
Total deferred tax liabilities:
Other non-current liabilities(126,210)— 
Net deferred tax assets$874,550 $261,541 
Schedule of Changes in Unrecognized Tax Benefits The aggregate changes in the Company’s total gross amount of unrecognized tax benefits are summarized as follows:
 
As of December 31,
202320222021
(in thousands)
Balance at the beginning of the year$226,977 $202,557 $140,124 
Increases related to tax positions taken during the current period65,630 26,865 35,317 
Increases related to tax positions taken during prior periods76,794 — 27,116 
Decreases related to tax positions taken during prior periods(10,117)(2,445)— 
Decreases related to settlements with taxing authorities(32,179)— — 
Decreases related to expiration of statute of limitations— — — 
Balance at the end of the year$327,105 $226,977 $202,557 
v3.23.4
Employee Benefit Plan (Tables)
 12 Months Ended
Dec. 31, 2023
Retirement Benefits [Abstract]  
Schedule of Company Contributions to Pension and Health Plans
The following table summarizes the Company's contributions to multiemployer pension and health plans for the years ended December 31, 2023, 2022 and 2021, respectively:
 Year Ended December 31,
 202320222021
 (in thousands)
Pension benefits$57,285 $127,885 $111,133 
Health benefits85,157 96,285 83,153 
Total contributions$142,442 $224,170 $194,286 
v3.23.4
Segment and Geographic Information (Tables)
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Schedule 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 were located as follows:
As of December 31,
20232022
(in thousands)
United States$2,724,710 $2,745,071 
International843,633 880,308 
v3.23.4
Organization and Summary of Significant Accounting Policies (Details)
$ in Thousands, membership in Millions
 12 Months Ended
Dec. 31, 2023
USD ($)
membership
country
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Organization And Summary Of Significant Accounting Policies [Line Items]      
Number of streaming members (over) | membership 260    
Number of countries (over) | country 190    
Content assets amortization period cap 10 years    
Average produced content asset amortization percentage (over) 90.00%    
Average produced content asset amortization period 4 years    
Advertising expense $ 1,732,000 $ 1,586,000 $ 1,669,000
Foreign currency remeasurement (loss) gain on debt (176,296) 353,111 430,661
Interest and Other Income (Expense)      
Organization And Summary Of Significant Accounting Policies [Line Items]      
Foreign currency remeasurement (loss) gain on debt $ (293,000) $ 282,000 $ 403,000
Maximum      
Organization And Summary Of Significant Accounting Policies [Line Items]      
Property and equipment estimated useful life (in years) 30 years    
v3.23.4
Revenue Recognition - Revenue and Membership Information (Details)
membership in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
membership
Dec. 31, 2022
USD ($)
membership
Dec. 31, 2021
USD ($)
membership
Disaggregation of Revenue [Line Items]      
Revenues | $ $ 33,723,297 $ 31,615,550 $ 29,697,844
Streaming | United States and Canada      
Disaggregation of Revenue [Line Items]      
Revenues | $ $ 14,873,783 $ 14,084,643 $ 12,972,100
Paid net membership additions (in memberships) 5,832 (919) 1,279
Paid memberships at end of period (in memberships) 80,128 74,296 75,215
Streaming | Europe, Middle East, and Africa      
Disaggregation of Revenue [Line Items]      
Revenues | $ $ 10,556,487 $ 9,745,015 $ 9,699,819
Paid net membership additions (in memberships) 12,084 2,693 7,338
Paid memberships at end of period (in memberships) 88,813 76,729 74,036
Streaming | Latin America      
Disaggregation of Revenue [Line Items]      
Revenues | $ $ 4,446,461 $ 4,069,973 $ 3,576,976
Paid net membership additions (in memberships) 4,298 1,738 2,424
Paid memberships at end of period (in memberships) 45,997 41,699 39,961
Streaming | Asia-Pacific      
Disaggregation of Revenue [Line Items]      
Revenues | $ $ 3,763,727 $ 3,570,221 $ 3,266,601
Paid net membership additions (in memberships) 7,315 5,391 7,140
Paid memberships at end of period (in memberships) 45,338 38,023 32,632
v3.23.4
Revenue Recognition - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2022
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]    
Deferred revenue $ 1,264,661 $ 1,442,969
Increase in deferred revenue $ 178,000  
v3.23.4
Earnings Per Share - Calculation of EPS (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Basic earnings per share:      
Net income $ 5,407,990 $ 4,491,924 $ 5,116,228
Weighted-average common shares outstanding (in shares) 441,571 444,698 443,155
Basic earnings per share (in USD per share) $ 12.25 $ 10.10 $ 11.55
Diluted earnings per share:      
Net income $ 5,407,990 $ 4,491,924 $ 5,116,228
Shares used in computation:      
Weighted-average common shares outstanding (in shares) 441,571 444,698 443,155
Employee stock options (in shares) 7,927 6,592 12,217
Weighted-average number of shares (in shares) 449,498 451,290 455,372
Diluted earnings per share (in USD per share) $ 12.03 $ 9.95 $ 11.24
v3.23.4
Earnings Per Share - Antidilutive Shares (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Earnings Per Share [Abstract]      
Antidilutive securities excluded from earnings per share calculations (in shares) 4,109 6,790 348
v3.23.4
Cash, Cash Equivalents, Restricted Cash, and Short-term Investments (Details) - USD ($)
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments $ 7,139,488,000 $ 6,081,858,000
Material gross realized gains or losses 0 0
Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 7,116,913,000 5,147,176,000
Short-term investments    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 20,973,000 911,276,000
Other Current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 1,466,000 3,410,000
Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 136,000 19,996,000
Cash    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 5,988,176,000 4,094,868,000
Cash | Cash and cash equivalents    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 5,986,629,000 4,071,584,000
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 1,466,000 3,410,000
Cash | Non-current Assets    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 81,000 19,874,000
Money market funds | Level 1 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 925,707,000 569,948,000
Money market funds | Cash and cash equivalents | Level 1 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 925,652,000 569,826,000
Money market funds | Short-term investments | Level 1 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Money market funds | Other Current Assets | Level 1 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Money market funds | Non-current Assets | Level 1 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 55,000 122,000
Time Deposits | Level 2 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 225,605,000 1,417,042,000
Time Deposits | Cash and cash equivalents | Level 2 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 204,632,000 505,766,000
Time Deposits | Short-term investments | Level 2 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 20,973,000 911,276,000
Time Deposits | Other Current Assets | Level 2 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments 0 0
Time Deposits | Non-current Assets | Level 2 securities    
Cash and Cash Equivalents [Line Items]    
Cash, cash equivalents, and short-term investments $ 0 $ 0
v3.23.4
Balance Sheet Components - Components of Content Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]      
Content assets, net $ 31,658,056 $ 32,736,713  
Amortization of content assets 14,197,437 14,026,132 $ 12,230,367
Tax incentives resulting in lower content amortization 835,000 719,000  
Licensed content, net      
Finite-Lived Intangible Assets [Line Items]      
Net content 12,722,701 12,732,549  
Unamortized cost in year one 5,777,000    
Unamortized cost in year two 2,860,000    
Unamortized cost in year three 1,842,000    
Amortization of content assets 7,145,446 7,681,978 8,055,811
Produced content, net      
Finite-Lived Intangible Assets [Line Items]      
Net content 9,843,150 9,110,518  
In production 8,247,578 10,255,940  
In development and pre-production 844,627 637,706  
Content assets, net 18,935,355 20,004,164  
Unamortized cost in year one 3,766,000    
Unamortized cost in year two 2,622,000    
Unamortized cost in year three 1,793,000    
Amortization of content assets $ 7,051,991 $ 6,344,154 $ 4,174,556
v3.23.4
Balance Sheet Components - Property and Equipment and Accumulated Depreciation (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 2,346,487 $ 2,151,998
Less: Accumulated depreciation (855,043) (753,741)
Property and equipment, net $ 1,491,444 1,398,257
Maximum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives (in Years) 30 years  
Land    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 88,429 85,005
Buildings    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 150,736 52,106
Estimated Useful Lives (in Years) 30 years  
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 1,032,492 1,040,570
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 144,737 153,682
Estimated Useful Lives (in Years) 3 years  
Information technology    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 414,092 442,681
Estimated Useful Lives (in Years) 3 years  
Corporate aircraft    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 99,175 115,578
Corporate aircraft | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives (in Years) 8 years  
Corporate aircraft | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives (in Years) 10 years  
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 10,334 26,821
Machinery and equipment | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives (in Years) 3 years  
Machinery and equipment | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated Useful Lives (in Years) 5 years  
Capital work-in-progress    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 406,492 $ 235,555
v3.23.4
Balance Sheet Components - Leases (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
option
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Lessee, Lease, Description [Line Items]      
Number of renewal options (or more) | option 1    
Lease Cost:      
Operating lease cost $ 430,856 $ 413,664 $ 389,805
Short-term lease cost 207,822 194,764 152,765
Total lease cost 638,678 608,428 542,570
Cash paid for operating lease liabilities 451,525 413,034 349,586
Right-of-use assets obtained in exchange for new operating lease obligations 196,639 252,393 $ 764,142
Operating lease right-of-use assets, net 2,076,899 2,227,122  
Current operating lease liabilities 383,312 355,985  
Non-current operating lease liabilities 2,046,801 2,222,503  
Total operating lease liabilities $ 2,430,113 $ 2,578,488  
Weighted-average remaining lease term 7 years 6 months 8 years 3 months 18 days  
Weighted-average discount rate 3.30% 3.20%  
Operating lease, liability, leases not commenced $ 343,000    
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 List] Accrued Liabilities, Current Accrued Liabilities, Current  
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other non-current liabilities Other non-current liabilities  
Minimum      
Lessee, Lease, Description [Line Items]      
Lease term of contract (in years) 1 year    
Lease renewal term (in years) 1 year    
Lease Cost:      
Lease not yet commenced, term of contract (in years) 2 years    
Maximum      
Lessee, Lease, Description [Line Items]      
Lease term of contract (in years) 15 years    
Lease renewal term (in years) 20 years    
Lease Cost:      
Lease not yet commenced, term of contract (in years) 11 years    
v3.23.4
Balance Sheet Components - Lease Maturities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Balance Sheet Related Disclosures [Abstract]    
2024 $ 460,353  
2025 424,897  
2026 401,306  
2027 340,245  
2028 282,465  
Thereafter 827,117  
Total lease liabilities 2,736,383  
Less imputed interest (306,270)  
Total operating lease liabilities $ 2,430,113 $ 2,578,488
v3.23.4
Balance Sheet Components - Other Current Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Balance Sheet Related Disclosures [Abstract]    
Trade receivables $ 1,287,054 $ 988,898
Prepaid expenses 408,936 392,735
Other 1,084,257 1,826,388
Total other current assets 2,780,247 3,208,021
Tax incentives $ 555,000 $ 598,000
v3.23.4
Debt - Narrative (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Dec. 31, 2023
EUR (€)
Debt Instrument [Line Items]        
Aggregate outstanding notes $ 14,543,000 $ 14,353,000    
Debt issuance costs 65,000 79,000    
Short-term debt 399,844 0    
Long-term notes denominated in foreign currency 14,608,000 14,432,000    
Foreign currency remeasurement loss on debt 176,296 $ (353,111) $ (430,661)  
Senior Notes        
Debt Instrument [Line Items]        
Long-term notes denominated in foreign currency | €       € 5,170,000,000
Foreign currency remeasurement loss on debt $ 176,000      
Redemption price, percent of outstanding principal 101.00%      
v3.23.4
Debt - Schedule of Long-term Debt (Details)
$ in Millions
Dec. 31, 2023
EUR (€)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
EUR (€)
Dec. 31, 2022
USD ($)
Debt Instrument [Line Items]        
Face amount   $ 14,608   $ 14,432
Long-term debt, fair value   $ 15,018   $ 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   $ 400   $ 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   $ 807   $ 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 $ 519 € 470,000,000 $ 503
Long-term debt, fair value   $ 516   $ 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   $ 491   $ 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   $ 996   $ 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 $ 1,434 € 1,300,000,000 $ 1,391
Long-term debt, fair value   $ 1,454   $ 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   $ 1,621   $ 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   $ 2,009   $ 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 $ 1,215 € 1,100,000,000 $ 1,177
Long-term debt, fair value   $ 1,300   $ 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   $ 872   $ 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 $ 1,325 € 1,200,000,000 $ 1,284
Long-term debt, fair value   $ 1,372   $ 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   $ 931   $ 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 $ 1,215 € 1,100,000,000 $ 1,177
Long-term debt, fair value   $ 1,237   $ 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   $ 1,012   $ 944
v3.23.4
Debt - Revolving Line of Credit (Details) - Revolving Credit Facility - USD ($)
 12 Months Ended
Dec. 31, 2023
Mar. 06, 2023
Line of Credit Facility [Line Items]    
Line of credit facility, maximum borrowing capacity   $ 1,000,000,000
Amount borrowed $ 0  
Commitment fee percentage 0.10%  
London ​Interbank ​Offered ​Rate (​LIBOR) 1    
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 Rate    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 1.00%  
One-Month LIBOR Rate | Minimum    
Line of Credit Facility [Line Items]    
Basis spread on variable rate 0.00%  
v3.23.4
Derivative Financial Instruments - Notional Amount of Derivative Contracts (Details) - Derivatives designated as hedging instruments: - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Derivative, Notional Amount $ 8,783,273 $ 0
Foreign exchange contracts | Cash flow hedges    
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Derivative, Notional Amount $ 8,783,273 $ 0
v3.23.4
Derivative Financial Instruments - Fair Value of Derivative Contracts (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Assets $ 30,934
Derivative Liabilities 186,664
Other current assets | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Assets 26,416
Other current assets | Foreign exchange contracts | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Assets 26,416
Other non-current assets | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Assets 4,518
Other non-current assets | Foreign exchange contracts | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Assets 4,518
Accrued expenses and other liabilities | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Liabilities 140,089
Accrued expenses and other liabilities | Foreign exchange contracts | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Liabilities 140,089
Other non-current liabilities | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Liabilities 46,575
Other non-current liabilities | Foreign exchange contracts | Derivatives designated as hedging instruments:  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Liabilities $ 46,575
v3.23.4
Derivative Financial Instruments - Narrative (Details)
$ in Millions
Dec. 31, 2023
USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Foreign currency cash flow hedges included in AOCI expected to be reclassified to earnings within the next 12 months $ 128
v3.23.4
Derivative Financial Instruments - Offsetting Derivative Assets and Liabilities (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Derivative assets  
Gross Amount Recognized in the Consolidated Balance Sheets $ 30,934
Gross Amount Offset in the Consolidated Balance Sheets 0
Net Amount Presented in the Consolidated Balance Sheets 30,934
Financial Instruments (27,246)
Collateral Received and Posted 0
Net Amount $ 3,688
Derivative Asset, Statement of Financial Position [Extensible Enumeration] Derivative assets
Derivative liabilities  
Gross Amount Recognized in the Consolidated Balance Sheets $ 186,664
Gross Amount Offset in the Consolidated Balance Sheets 0
Net Amount Presented in the Consolidated Balance Sheets 186,664
Financial Instruments (27,246)
Collateral Received and Posted 0
Net Amount $ 159,418
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Derivative liabilities
v3.23.4
Derivative Financial Instruments - Effect of Derivative Instruments on Consolidated Financial Statements (Details) - Cash flow hedges - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Amount included in the assessment of effectiveness $ (155,730) $ 0 $ 0
Foreign exchange contracts      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Amount included in the assessment of effectiveness $ (155,730) $ 0 $ 0
v3.23.4
Commitments and Contingencies - Streaming Content (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Contractual Obligation [Line Items]    
Total streaming content obligations $ 21,713,349 $ 21,831,947
Current content liabilities 4,466,470 4,480,150
Non-current content liabilities 2,578,173 3,081,277
Unrecorded streaming obligations 14,600,000 14,200,000
Non-income Tax Assessments | Brazilian Tax Authorities    
Contractual Obligation [Line Items]    
Indemnification guarantee accrual 300,000  
Current Content Liabilities    
Contractual Obligation [Line Items]    
Current content liabilities 4,500,000 4,500,000
Non-current Content Liabilities    
Contractual Obligation [Line Items]    
Non-current content liabilities $ 2,600,000 $ 3,100,000
v3.23.4
Commitments and Contingencies - Expected Timing of Payments for Commitments (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]    
Less than one year $ 10,328,923 $ 10,038,483
Due after one year and through 3 years 8,784,302 9,425,551
Due after 3 years and through 5 years 2,016,358 2,124,307
Due after 5 years 583,766 243,606
Total content obligations $ 21,713,349 $ 21,831,947
v3.23.4
Commitments and Contingencies - Guarantees—Indemnification Obligations (Details)
Dec. 31, 2023
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Other commitment $ 0
v3.23.4
Stockholders' Equity - Voting Rights (Details)
 12 Months Ended
Dec. 31, 2023
vote
Stockholders' Equity Note [Abstract]  
Number of voting rights per share 1
v3.23.4
Stockholders' Equity - Schedule of Activity Related to Stock Option Plans (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Shares  Available for Grant      
Shares available for grant, beginning balances (in shares) 16,454,103 20,145,360 21,702,085
Options outstanding, number of shares, beginning balance (in shares) 19,896,861 17,595,851 18,676,810
Options outstanding, number of shares granted (in shares) 1,729,218 3,691,257 1,556,725
Options outstanding, number of shares, exercised (in shares) (1,926,598) (1,383,669) (2,632,324)
Options outstanding, number of shares expired (in shares) (4,372) (6,578) (5,360)
Shares available for grant, ending balances (in shares) 14,724,885 16,454,103 20,145,360
Options outstanding, number of shares, ending balance (in shares) 19,695,109 19,896,861 17,595,851
Options outstanding, number of shares, vested and expected to vest (in shares) 19,695,109    
Options outstanding, number of shares, exercisable (in shares) 19,447,739    
Weighted- Average Exercise Price (per share)      
Options outstanding, weighted-average exercise price, beginning balance (in USD per share) $ 242.22 $ 219.83 $ 170.23
Options outstanding, weighted-average exercise price, granted (in USD per share) 372.49 267.94 554.11
Options outstanding, weighted-average exercise price, exercised (in USD per share) 87.30 27.19 65.97
Options expired, weighted-average exercise price (in USD per share) 36.39 11.10 34.63
Options outstanding, weighted-average exercise price, ending balance (in USD per share) 268.86 $ 242.22 $ 219.83
Options outstanding, weighted-average exercise price, vested and expected to vest (in USD per share) 268.86    
Options outstanding, weighted-average exercise price, vested and exercisable (in USD per share) $ 267.37    
Weighted- Average Remaining Contractual Term (in years)      
Weighted-average remaining contractual term (in years) 5 years 4 months 6 days    
Weighted-average exercise price, vested and exercisable, vested and expected to vest 5 years 4 months 6 days    
Weighted-average remaining contractual term, exercisable 5 years 3 months 18 days    
Aggregate Intrinsic Value (in thousands)      
Aggregate intrinsic value $ 4,429,404    
Aggregate intrinsic value, vested and expected to vest 4,429,404    
Aggregate intrinsic value, exercisable $ 4,404,586    
v3.23.4
Stockholders' Equity - Stock Option Plans (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expiration period (in years) 10 years    
Dividend yield 0.00% 0.00% 0.00%
Fair value of stock options that vested $ 311    
Total unrecognized compensation cost related to nonvested stock options $ 26    
Share-based payment arrangement, weighted-average period 5 months 12 days    
Executive Officer      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Award vesting period 1 year    
v3.23.4
Stockholders' Equity - Amounts Related to Option Exercises (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Equity [Abstract]      
Total intrinsic value of options exercised $ 610,594 $ 345,839 $ 1,362,599
Proceeds from issuance of common stock $ 169,990 $ 35,746 $ 174,414
v3.23.4
Stockholders' Equity - Schedule of Assumptions Used to Value Stock Option Grants (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Stockholders' Equity Note [Abstract]      
Dividend yield 0.00% 0.00% 0.00%
Expected volatility, minimum 40.00% 38.00% 34.00%
Expected volatility, maximum 46.00% 52.00% 41.00%
Risk-free interest rate, minimum 3.57% 1.71% 1.08%
Risk-free interest rate, maximum 4.56% 3.79% 1.62%
Suboptimal exercise factor, minimum 4.22 4.71 3.81
Suboptimal exercise factor, maximum 4.30 4.82 3.98
Valuation data:      
Weighted-average fair value (in USD per share) $ 211.27 $ 155.88 $ 259.01
Total stock-based compensation expense $ 339,368 $ 575,452 $ 403,220
Total income tax impact on provision $ 61,588 $ 127,289 $ 89,642
v3.23.4
Stockholders' Equity - Stock Repurchases (Details) - USD ($)
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Mar. 31, 2021
Stockholders' Equity Note [Abstract]        
Common stock authorized to be repurchased $ 10,000,000,000     $ 5,000,000,000
Stock repurchased (in shares) 14,513,790      
Repurchases of common stock $ 6,045,347,000 $ 0 $ 600,022,000  
Remaining authorized repurchase amount $ 8,400,000,000      
v3.23.4
Stockholders' Equity Stockholders' Equity - Accumulated Other Comprehensive Loss (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance $ 20,777,401 $ 15,849,248 $ 11,065,240
Other comprehensive income (loss) before reclassifications (6,639) (176,811) (84,893)
Ending balance 20,588,313 20,777,401 15,849,248
Foreign Currency Translation Adjustments      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance (217,306) (40,495) 44,398
Other comprehensive income (loss) before reclassifications 113,384 (176,811) (84,893)
Ending balance (103,922) (217,306) (40,495)
Change in Unrealized Gains (Losses) on Cash Flow Hedges      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance 0 0 0
Other comprehensive income (loss) before reclassifications (120,023) 0 0
Ending balance (120,023) 0 0
Total      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance (217,306) (40,495) 44,398
Ending balance $ (223,945) $ (217,306) $ (40,495)
v3.23.4
Income Taxes - Schedule of Income before Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]      
United States $ 5,602,762 $ 4,623,218 $ 5,349,749
Foreign 602,643 640,711 490,354
Income before income taxes $ 6,205,405 $ 5,263,929 $ 5,840,103
v3.23.4
Income Taxes - Components of Provision for Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Current tax provision:      
Federal $ 854,170 $ 109,910 $ 57,526
State 181,684 119,795 109,641
Foreign 304,539 676,827 357,189
Total current 1,340,393 906,532 524,356
Deferred tax provision:      
Federal (412,760) (52,434) 188,937
State (55,475) (30,691) (2,700)
Foreign (74,743) (51,402) 13,282
Total deferred (542,978) (134,527) 199,519
Provision for income taxes $ 797,415 $ 772,005 $ 723,875
v3.23.4
Income Taxes - Reconciliation of Provision for Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]      
Expected tax expense at U.S. Federal statutory tax rate $ 1,303,123 $ 1,105,428 $ 1,226,422
State income taxes, net of Federal income tax effect 104,717 92,084 111,400
Foreign earnings at other than U.S. rates (32,292) 104,665 (86,489)
Research and development tax credit (87,036) (146,615) (82,909)
Excess tax benefits on stock-based compensation (119,043) (75,211) (290,899)
Foreign-derived intangible income deduction (426,597) (361,013) (192,238)
Nontaxable and nondeductible items 41,782 44,046 37,144
Other 12,761 8,621 1,444
Provision for income taxes $ 797,415 $ 772,005 $ 723,875
Effective Tax Rate 13.00% 15.00% 12.00%
v3.23.4
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Deferred tax assets:    
Stock-based compensation $ 486,876 $ 443,456
Tax credits and net operating loss carryforwards 544,431 409,411
Capitalized research expenses 593,439 323,998
Accruals and reserves 137,251 119,732
Operating lease liabilities 516,574 551,418
Unrealized losses 62,213 0
Other 11,615 2,234
Total deferred tax assets 2,352,399 1,850,249
Valuation allowance (442,293) (343,342)
Net deferred tax assets 1,910,106 1,506,907
Deferred tax liabilities:    
Depreciation & amortization (357,477) (456,717)
Operating right-of-use lease assets (435,216) (473,928)
Unrealized gains 0 (47,283)
Acquired intangibles (233,433) (267,438)
Other (9,430) 0
Total deferred tax liabilities (1,035,556) (1,245,366)
Net deferred tax assets $ 874,550 $ 261,541
v3.23.4
Income Taxes - Deferred Tax Assets and Liabilities within our Consolidated Balance Sheets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Total deferred tax assets:    
Other non-current assets $ 1,910,106 $ 1,506,907
Total deferred tax liabilities:    
Other non-current liabilities (1,035,556) (1,245,366)
Net deferred tax assets 874,550 261,541
Non-current Assets    
Total deferred tax assets:    
Other non-current assets 1,000,760 261,541
Other non-current liabilities    
Total deferred tax liabilities:    
Other non-current liabilities $ (126,210) $ 0
v3.23.4
Income Taxes - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Income Tax Disclosure [Abstract]        
Tax credits and net operating loss carryforwards $ 582,000      
Operating loss carryforwards, state 838,000      
Deferred tax assets, tax credit carryforwards, foreign 19,000      
Deferred tax assets, operating loss carryforwards, foreign 421,000      
Valuation allowance 442,293 $ 343,342    
Foreign undistributed earnings 52,000      
Unrecognized tax benefits 327,105 226,977 $ 202,557 $ 140,124
Reduction in provision for income taxes due to impact of effective tax rate 188,000 155,000    
Interest and penalties in the provision for income taxes 25,000 2,000 $ 1,000  
Interest and penalties accrued $ 28,000 $ 3,000    
v3.23.4
Income Taxes - Schedule of Changes in Unrecognized Tax Benefits (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]      
Beginning Balance $ 226,977 $ 202,557 $ 140,124
Increases related to tax positions taken during the current period 65,630 26,865 35,317
Increases related to tax positions taken during prior periods 76,794 0 27,116
Decreases related to tax positions taken during prior periods (10,117) (2,445) 0
Decreases related to settlements with taxing authorities (32,179) 0 0
Decreases related to expiration of statute of limitations 0 0 0
Ending Balance $ 327,105 $ 226,977 $ 202,557
v3.23.4
Employee Benefit Plan - Narrative (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Retirement Benefits [Abstract]      
Eligible employees maximum contribution percentage 80.00%    
Contributions by employer $ 114 $ 102 $ 85
v3.23.4
Employee Benefit Plan - Multiemployer Plan (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Multiemployer Plan [Line Items]      
Total contributions $ 142,442 $ 224,170 $ 194,286
Multiemployer Plan, Type [Extensible List] Other Pension, Postretirement and Supplemental Plans [Member]    
Pension benefits      
Multiemployer Plan [Line Items]      
Total contributions $ 57,285 127,885 111,133
Health benefits      
Multiemployer Plan [Line Items]      
Total contributions $ 85,157 $ 96,285 $ 83,153
v3.23.4
Segment and Geographic Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
segment
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]      
Number of operating segments | segment 1    
Revenues $ 33,723,297 $ 31,615,550 $ 29,697,844
United States      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Revenues $ 13,800,000 $ 13,000,000 $ 12,100,000
v3.23.4
Segment and Geographic Information - Long-lived Assets by Geographic Areas (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets $ 2,724,710 $ 2,745,071
International    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets $ 843,633 $ 880,308