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In April, on the heels of first-quarter earnings releases, NFLX executives announced that they would be raising prices on their services by $1 a month, while grandfathering in the rate increase over two years for current subscribers. The rate increase is needed to help finance new content and expand Netflix's current offering of TV shows and movies, said its executives.
In May, the online video-streaming service announced that it would expand into six new countries by late 2014, including France, Germany, Austria, Switzerland, Belgium, and Luxembourg. This is part of an international push that began when Netflix first expanded into Canada in 2010 and continued into Latin America, the UK, Ireland, Finland, Denmark, Sweden, and Norway. The international expansion, however, has yet to turn a profit.
There was also talk of Netflix eventually moving into the Australian and New Zealand market by 2015, ValueWalk.com reported in May. Any big expansions are likely to be delayed because as Chief Financial Officer (CFO) David Wells said in an earnings interview in April, the company wants "to demonstrate that before we launch another substantial expansion, that we're pretty confident in our existing performance in the markets we have today."