NFLX · 10-Q · 2026Q3 · Full report

Products and Technology

NETFLIX INC · 2026-10-21 · Importance 35 · Surprise 48

Netflix operates its own Open Connect content delivery network to efficiently stream a high volume of programming globally. Streaming delivery costs include Open Connect equipment, personnel and third-party cloud computing costs. Technology and development spending increased 21% year over year in the third quarter and 20% for the first nine months, primarily due to higher personnel-related costs. Technology personnel support the user interface, recommendations and infrastructure underlying Netflix’s streaming service.

Key facts

• For the three months ended September 30, 2026, NETFLIX INC's technology and development expense was $1,033,142 thousand versus $853,584 thousand in Q3 2025, an increase of $179,558 thousand primarily due to a $136 million increase in personnel-related costs. source