Netflix Hungry for Subscribers

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Oct. 21 (Bloomberg) –- Jon Erlichman reports on the importance of subscriber numbers to Netflix. He speaks on Bloomberg Television's "Bloomberg West." (Source: Bloomberg)

Today and ahead of those numbers, the company's stock is red-hot, hitting an all-time high of above $350 per share.

Analysts estimate that netflix has more than 30 million subscribers in the u.s.. a number greater than time warner or hbo.

Jon erlichman is in l.a. with today's new hollywood.

What can we want for today?

Collects this is a's -- this is a story about subscribers.

It keeps the skeptics away.

The revenue story, which is expected to grow by roughly 20%, is fueled by every person who is willing to pay seven dollars and $.99 -- seven dollars 99 cents per month.

Netflix is spending all this money on content.

That weighs on the bottom line.

To give you a sense on what wall street is looking for in terms of the subscriber numbers.

-- numbers, the estimates are in the neighborhood of 30 million plus u.s. subscribers and perhaps 8.5 million oversee subscribers.

This is a company that has big science for that subscriber growth for beyond today.

They talked about generating the 60 million and 90 million subscriber streams in the u.s.. that would be about applicable where they are now.

He spoke about house of cards, the original series.

This quarter was all about "orange is the new black." it was, in terms of what we might hear today.

House of cards got a lot of attention.

Orange is the new black shows that they like to point to -- they had something called the completion rate.

The number of people who are watching every episode, the full thing very quickly.

That is something that netflix uses as a gauge for whether it should reduce shows, should it give shows a second or third season?

Everyone is very interested in knowing how many of those exist in the world netflix.

It gets you to a new business model.

Traditionally companies that are putting out shows are based on their overnight numbers because there are advertising dollars tied to that.

Netflix is not based on advertising.

It is based on subscribers.

Expect some details later today.

Jon erlichman, our senior west coast correspondent, thank you.

We will be watching on the late

This text has been automatically generated. It may not be 100% accurate.

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