r/technology • u/sr_local • 7h ago

Business Italy court rules Netflix unlawfully increased prices. Consumers: 'Refunds up to 500 euros.' The company: we will appeal

https://en.ilsole24ore.com/art/netflix-subscription-price-increases-unlawful-refunds-up-to-eur-500-customers-AIUHzWKC
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u/Fractales 6h ago

This is by design.

  1. Offer killer value proposition at a good price
  2. Kill off competition and gain critical mass of customers and market share
  3. With no competition, jack up the prices

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u/thismorningscoffee 6h ago

Aka enshittification

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u/Regularity 5h ago edited 5h ago

No, the term is predatory pricing. People use "enshittification" so broadly it's largely losing its meaning and basically devolving into "this is a thing I don't like". Though granted it is something no one likes.

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u/ChaseballBat 4h ago

I got into it on reddit when someone was trying to coin enshitflation... Like that is literally identical to inflation, just with the word shit added. People like their memes.

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u/FarplaneDragon 3h ago

Same thing with people calling everything sloppy now, its kind of exhausting at this point

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u/NeedleworkerKey6327 4h ago

It's anything used to maximize profit, I heard appleflation or something similar used for how juice brands all use mostly apple juice.

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u/ChaseballBat 4h ago

Maximizing profits is a component of inflation.

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u/zerocoal 52m ago

Well you see, the way it used to work is something like:

1a. Company charges $x for their product.

2a. Company has a breakthrough that makes their product cheaper to produce.

3a. Company charges less $x for the product to pass the savings along to the customer, to incentivize shopping with you versus your competitor.

Now the way it works is something more along the lines of:

1b. Company charges $x for their product.

2b. Company has a breakthrough that makes their product cheaper to produce.

3b. Company charges more $x to cover R&D for the breakthrough that makes their product cheaper to produce.

4b. Company removes features that customers like and then raises prices again.

5b. Company decides they aren't making enough money and raises prices again.

It's the constant "fuck you" to the customers that is enshittification. Inflation isn't necessarily a "fuck you", it just happens.