Netflix, a flourishing business in North America, and small parts of Europe, may be facing issues from emerging competition. In Canada, companies such as Shaw and Rogers are planning to launch a new streaming service called Shomi. This service includes 12,000 hours of content for only $8.99 a month, which rivals Netflix’s business model. Shomi provides popular TV shows that are in high demand, creating the possibility of Netflix’s market share to drop significantly.

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In Usman Mukaty’s blog, it is evident that Netflix is also having difficulty expanding abroad. Usman further explains that their services are not as appealing to European and South American markets as Netflix may have predicted. This is largely due to the fact that tastes vary in different countries. The creation of Shomi may create such problems in Canada, because the demand for Neflix could decrease if Shomi provides services that appeal more to the taste of Canadian customers. It is extremely vital for Netflix to be aware of these issues, and think of ways of preventing their current subscribers from switching to alternate options. Netflix is now facing issues globally and could be at great risk if immediate action is not taken.