US Sen Bob Casey launched his latest battle against corporate price gouging. Netflix paid its co-CEOs $89.9 million after hiking prices during the pandemic.
US Sen. Bob Casey released his latest “greedflation” report on Wednesday, and this time it takes aim at popular streaming platforms such as Netflix, Hulu, Amazon Prime, and more.
This time, Casey is highlighting what he calls “streamflation,” which happens when streaming platforms hike their profits by charging higher prices, despite offering less content and fewer services.
“From movies to music, greedy streaming services are ripping off hard working American families with inflated subscription fees, limited account sharing, and added advertisements,” Casey said in a statement.
“Families sign up for a service, only to have the rug pulled out from under them when they learn they’ll have to pay more to stream less. I’m calling out greedflation when I see it and I’m fighting back against the corporations that put profits over people.”
The latest report cites that most American families use these platforms for education and entertainment. Americans spend more than two hours a day watching TV, and 40% of that time is spent on streaming platforms, according to Neilsen.
Since the pandemic, every popular streaming service has significantly increased its prices and, in some cases, simultaneously paid exorbitant salaries to executives..
For instance, Netflix’s annual net income grew 174% from 2019 to 2021, making it one of the most profitable companies during the pandemic, according to the report. The company then increased subscription prices in 2022 and 2023.
Netflix’s two co-CEOs were then paid a combined $89.9 million in 2023.
Netflix executives weren’t the only ones to benefit during that time. Executives from all of the major streaming platforms earned $170.2 million in compensation for that year.
“Streamflation is costing American families,” the report read.
“From CEO pay to stock buybacks, the industry is profiting off the backs of working families. Streamflation is just another example of how corporate greed is shaping the American economy.”
