Reed Hastings, co-founder of online streaming platform Netflix, is leaving the company after founding it nearly three decades of founding it. He will be stepping down as chairman of Netflix by the end of June. In a letter to shareholders, the company highlighted that Hastings plans to focus on “philanthropy and other pursuits.”

Reed Hastings, Netflix co-founder and Chairman, said, “Netflix changed my life in so many ways, and my all‑time favourite memory was January 2016, when we enabled nearly the entire planet to enjoy our service.”

“My real contribution at Netflix wasn’t a single decision. “It was a focus on member joy, building a culture that others could inherit and improve, and building a company that could be both beloved by members and wildly successful for generations to come,"  Hastings added.

He also thanked co-CEOs Ted Sarandos and Greg Peters, “whose commitment to Netflix’s greatness is so strong that I can now focus on new things.”

The news came as Netflix reported its latest financial results, showcasing 16.2% revenue increase in Q1 2026. Netflix delivered strong growth with revenue rising year-over-year to $12.25 billion and net income climbing nearly 83% to $5.28 billion.

The profits become notable because it’s the company’s first earnings report after its unsuccessful attempt to acquire Warner Bros. Discovery. Netflix highlighted that its stronger-than-expected performance was recorded due to higher subscription prices, which brought in more money per user, and increased advertising revenue.

“Reed built a culture of innovation, integrity and high performance that defines who we are today,” the company said in its earnings report. “His vision and leadership pioneered how the world is entertained, and his legacy and impact are not only felt by all of us at Netflix, but by audiences around the world.”

As Reed Hastings prepares to step down, Netflix is entering a new phase. The company plans to expand its efforts on emerging technologies like generative AI, signalling where it sees future growth. Netflix has already taken a step in that direction by acquiring InterPositive, an AI venture linked to Ben Affleck.