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Report: Netflix Plans $300 Million Spending Chop

FILE: A Netflix logo is pictured in Los Angeles, California. taken Sept.15, 2022.

NEW YORK - Netflix Inc. plans to cut its spending by $300 million this year, the Wall Street Journal reported on May 12,, citing people familiar with the matter.

Company leaders urged staffers to be judicious with their spending, including in relation to hiring, but said there would be no hiring freeze or additional layoffs, according to the Wall Street Journal.

Netflix declined to comment.

As the streaming video pioneer faces signs of market saturation, it is exploring new ways to make money, such as password crackdown and a new ad-supported service.

The company said it shifted a wider launch of a plan to crack down on unsanctioned password sharing into the second quarter to make improvements.

Last month, Netflix beat estimates for first quarter but offered a lighter-than-expected forecast, demonstrating the challenges it faces in pursuit of growth.

Netflix in June, 2022 also laid off 300 employees, or about 4% of its workforce, in the second round of job cuts aimed at lowering costs.