The South Korean drama series "Squid" Game, worth $900 million and with 111 million fans in just 27 days, has become Netflix's largest original show launch ever.

The success of the South Korean dystopian drama series "Squid Game" has prompted investors to place bets on Netflix Inc's plans to explore more international content in order to boost slowing subscriber growth.

With 111 million fans in just 27 days, the low-cost survival drama has become Netflix's biggest original show launch ever, underpinning the company's efforts to increase investments in foreign content.

"We continue to see international expansion as a key driver of subscriber growth, particularly in underserved emerging markets," Guggenheim analysts wrote in a client note.

Due to the coronavirus-caused production halt, the streaming behemoth reported its slowest rate of subscriber additions since 2013.

However, because "Squid Game" became an instant worldwide sensation after its release near the end of the third quarter, analysts believe actual global subscriber additions could exceed estimates of 3.8 million and benefit the next three months as well.

Netflix has lost a significant amount of market share since the outbreak of the pandemic, as newer, more exclusive platforms have quickly gained popularity among stay-at-home entertainment seekers.

According to research firm Parrot Analytics, Apple TV+, for example, is banking on the success of "Ted Lasso" and increased its share of the global streaming pie by 75% this year.

Disney+, Netflix's most formidable rival, has amassed a base of 116 million paying subscribers in just two years.

Meanwhile, AT&T-owned HBO Max increased its global subscriber forecast to between 70 million and 73 million by July, indicating that the preference for on-demand content is here to stay.

International shows such as "Money Heist," "Lupin," and "The Crown" have gained international acclaim and several Emmy nominations, helping to sustain overseas subscriber growth.

"As they currently stand, the streaming wars are not a battle to unseat Netflix within viewers' homes, but rather to earn a place alongside the red giant," MoffettNathanson analysts wrote in a research note.

According to internal documents, the deal would add about $900 million to the company's value.

Analysts expect Netflix's third-quarter revenue to increase 16.14 percent to $7.48 billion when the company reports results on October 19th. * Earnings per share are expected to be $2.56.

As of Friday's close, its shares had gained approximately 16 percent this year.


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