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Netflix won the streaming wars, and we’re all about to pay for it

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Netflix won the streaming wars, and we’re all about to pay for it

Whenever Netflix raises its prices — which seems to happen roughly as often as Ben Affleck falls in love with an A-list celebrity — the company always gives the same reason. It needs the extra money, you see, in order to keep investing in the kind of programming and product its 302 million subscribers demand. That’s how the standard monthly price of ad-free Netflix jumped from $7.99 to $17.99 over the course of the last 13 years, including a $2.50 jump just announced during the company’s recent earnings report. There’s still a $7.99 monthly plan, of course, but that one includes ads — and it’s a dollar more expensive than it was a week ago.

But let’s be real with each other. You want to know why Netflix keeps raising its prices? Because it can. Because Netflix won. The rest of the streaming industry is competing ferociously over a finite pool of money, dealing with carriage disputes because of dwindling subscriber numbers, and panicking over the future of TV. Netflix is the future of TV. 

Over the last couple of years in particular, Netflix has gone from a solid streaming service to a practically unavoidable, virtually uncancellable part of mainstream culture. It has developed a slate of hit originals — Stranger Things, Wednesday, Squid Game, The Night Agent if we’re being really generous — that give it at least something approximating HBO-style appointment TV. It has proven, through things like the Paul / Tyson fight and the Tom Brady roast, that it can manufacture cultural events more or less out of nothing. It pulled off a day of NFL games without a hitch and spent billions of dollars to get WWE’s Monday Night Raw, one of cable’s biggest ongoing hits, onto the platform. And underneath it all, it has built a massive library of reality shows, cooking competitions, and the other filler TV that makes up most of our TV viewership.

Netflix has gone from a solid streaming service to a practically unavoidable, virtually uncancellable part of mainstream culture

Now, for the price of your Netflix subscription, you get a bunch of expensive movies, high-end TV shows, sports, and low-budget reality programs all in one place. You don’t want it all, but you pay for it anyway. That, my friends, is called a cable bundle. And it’s still the best business the entertainment industry has ever devised.

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The average price of a basic cable subscription in 2006, the year before Netflix started streaming content over the internet, was between $40 and $50. People watched something like four hours of TV a day, which meant they probably watched about an hour of ads every single day. Today, services like YouTube TV and Comcast’s new sports and news bundle are $70 or more and only provide live programming. Meanwhile, Netflix subscribers watch two hours of the service every day, across all those categories, and are paying as little as a tenth of the price. Many of them see no ads at all. Think of the savings!

Netflix sure sees it that way. Greg Peters, the company’s co-CEO, said on this week’s earnings call that he’s optimistic about Netflix’s “long-term monetization opportunity.” “We earn, right now, only 6 percent of the revenue opportunity in the countries and segments that we currently serve,” he said. “And as long as we continue to deliver on improving the variety, the quality of our TV and film slate, we gradually expand the offering with newer content types, we believe we’ll be able to increase that share progressively every year.”

Translation: Netflix is coming for your entire entertainment diet. And your entire entertainment budget.

As it looks at price increases, Peters also said, Netflix considers signals like engagement, retention, and acquisition. All that amounts to one simple question: do you keep using Netflix when the price goes up? The answer, so far, has almost always been yes. And so the prices keep going up. It’s really just that simple. It’s clear to Netflix that it could charge more — maybe a lot more — and hardly anybody would leave. So of course it’s going to push the limits.

The other way to understand the specifics of the pricing strategy is that Netflix would very much like you to have that ad-supported plan. The company has said repeatedly that it makes more money on the combination of a smaller monthly fee and advertising than it does from the larger subscription price alone. A large percentage of new subscribers are choosing ads — about 55 percent in the latest quarter — and Netflix is beginning to test exactly how much its existing subscribers will pay to keep their Netflix ad-free. It’s no accident that the ad-free price just jumped two and a half times as much as the base price did. And remember: even if we all switch to the ads plans, the prices might still go up. Cable TV is expensive and filled with ads, after all, and Netflix sure likes that business model.

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Netflix would very much like you to have that ad-supported plan

Netflix continues to signal that its ambitions are only growing, too. Ted Sarandos, the company’s other co-CEO, indicated on this week’s earnings call that the company is more open to live sports than ever, after the success of the Christmas NFL games and the Paul / Tyson fight. The company is increasingly getting into video games, too, which accounts for another huge chunk of many people’s entertainment budget. Netflix is even starting to borrow tactics from YouTube and TikTok, bringing creators like Ms. Rachel onto the platform.

Reed Hastings, Netflix’s co-founder and former CEO, famously said that Netflix’s main competitor is sleep. Sleep’s still a pretty powerful market force, to be fair. And YouTube continues to be an even more dominant force in people’s video-viewing experience. But Netflix has ascended above practically everybody else — even its ostensible competitors are now licensing their shows to Netflix because that’s where the viewers are, and where the culture is.

The streaming wars have been messy, and they’re certainly not over, but Netflix already won. The only question left is exactly how rich the spoils of victory will be. And you better believe Netflix is going to find out.

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OpenAI keeps shuffling its executives in bid to win AI agent battle

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OpenAI keeps shuffling its executives in bid to win AI agent battle

OpenAI announced yet another reorganization Friday, consolidating certain areas and making company president Greg Brockman the official lead of all things product.

In a memo viewed by The Verge, Brockman wrote that since OpenAI’s product strategy for this year is to go all-in on AI agents, the company is combining its products to “invest in a single agentic platform and to merge ChatGPT and Codex into one unified agentic experience for all.”

To do this, the company is making a suite of org chart changes, although it’s still operating under some of the same ones from last month. That’s when AGI boss Fidji Simo went on medical leave and OpenAI announced that Brockman would be in charge of product strategy and CSO Jason Kwon, CFO Sarah Friar, and CRO Denise Dresser would take control of business operations.

It’s all part of OpenAI’s recent strategic shift to focus on key revenue drivers like coding and enterprise and stop pouring resources into “side quests” ahead of its potential IPO later this year and amid investor pressure to turn a profit.

In Simo’s continued absence, Brockman’s role leading product strategy is now official, as well as the company’s “scaling” arm. Under Brockman will be four different pillars. The first is core product and platform, led by Thibault Sottiaux, who has been OpenAI’s engineering lead for Codex, and the second is critical enterprise industries, led by ChatGPT head Nick Turley. Third is the consumer pillar, such as health, commerce, and personal finance, which will be led by Ashley Alexander, who has been its healthcare products VP. The fourth pillar — core infrastructure, ads, data science, and growth — will be led by Vijaye Raji, who has been OpenAI’s CTO of applications.

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Brockman wrote in the memo that OpenAI’s goal is now to “bring agents to ChatGPT scale, in order to give individuals and organizations significantly more value and utility from our products.”

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Is that traffic ticket text a scam or real?

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Is that traffic ticket text a scam or real?

NEWYou can now listen to Fox News articles!

You’re going about your day when your phone buzzes. A text hits your phone. It looks official. It sounds urgent. And suddenly, you are being told you owe money for a traffic violation. That is exactly what Todd from Texas experienced. He emailed us and said:

“I received this text message today. It was so baffling because I haven’t lived in California for nearly a decade. I didn’t click on anything or respond. How can I tell if this is for real or if this is a scam?”

If you’ve gotten a message like this, you are not alone. This type of scam is spreading fast, and it is designed to pressure you into acting before you think. Let’s break down what is really going on.

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FAKE AGENT PHONE SCAMS ARE SPREADING FAST ACROSS THE US

This message may look official, but several red flags show it is likely a scam designed to pressure you into paying quickly. (Kurt “CyberGuy” Knutsson)

What the traffic ticket scam text looks like

At first, the message seems convincing. It claims to be a “final reminder” from the California DMV, and it warns of penalties like license suspension and added fees. It even includes a link that appears somewhat official. However, once you slow down and take a closer look, the red flags quickly start to pile up.

The biggest red flags in this message

Here are the key warning signs to watch for in messages like this.

9 WAYS SCAMMERS CAN USE YOUR PHONE NUMBER TO TRY TO TRICK YOU

1) The phone number makes no sense

The message comes from a number with a +63 country code. That is the Philippines, not California. Government agencies in the U.S. do not send official legal notices from international numbers. That alone is a major warning sign.

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2) No name, just “Dear Driver”

Legitimate notices from a DMV or court almost always include your full name or at least some identifying information. “Dear Driver” is vague on purpose. It allows scammers to send the same message to thousands of people.

3) The link isn’t a real DMV website

The message includes this link:

ca.mnvtl.life/dmv

That isn’t a government domain. Official DMV websites in California use “.ca.gov” or similar trusted domains. Scammers often create lookalike links to trick you into clicking.

4) Urgency and threats

The message pushes you to act quickly with a deadline. It lists consequences like license suspension and extra charges. Scammers rely on fear. When you feel rushed, you are more likely to click without thinking.

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FBI WARNS OF DANGEROUS NEW ‘SMISHING’ SCAM TARGETING YOUR PHONE

5) Asking you to reply to proceed

The text says to reply with “Y” to get instructions. That is another trap. Responding confirms your number is active, which can lead to more scam messages.

6) Generic language and odd phrasing

Parts of the message feel slightly off. The tone is formal but not quite right. That subtle awkwardness is common in scam messages sent to large groups of people.

7) Overloaded threats designed to scare you

The message piles on consequences like license suspension, added fees, court action and even credit damage. In this case, it even mentions a license suspension and a $160 late payment charge. That combination is meant to overwhelm you and push you to act fast. Real agencies usually provide clear, specific notices, not a long list of escalating threats in a single text.

INSIDE A SCAMMER’S DAY AND HOW THEY TARGET YOU

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Scam texts like this often arrive out of nowhere and try to create urgency before you have time to question them. (Kurt “CyberGuy” Knutsson)

What this means for you

Even if you have never driven in California, you could still receive this message. Scammers cast a wide net and hope someone takes the bait. If you click the link, you could be taken to a fake payment page. That page may ask for your credit card details, personal information or login credentials. In some cases, it can also install malware on your device or redirect you to credential-stealing pages. This isn’t about a ticket. It is about getting your data.  State DMVs typically do not send final legal notices or payment demands by text message.

Why these scams keep working

These messages work because they tap into something most people fear. Legal trouble, fines and losing driving privileges. They also look just real enough to pass a quick glance. That is all scammers need. As more services move online, these scams will continue to evolve.

Unlike typical DMV scams, this message impersonates a court and escalates the threats to make the situation feel more serious (Kurt “CyberGuy” Knutsson)

Ways to stay safe from traffic ticket text scams

Start with a simple rule. Never trust a payment request that shows up out of nowhere. Here are practical steps you can take:

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1) Do not click the link

If you are unsure, do not tap anything in the message. That includes links and reply options.

2) Use strong antivirus software

If you accidentally click a link, strong antivirus software can help detect malware and protect your data. Get my picks for the best 2026 antivirus protection winners for your Windows, Mac, Android & iOS devices at Cyberguy.com

3) Verify directly with the DMV

Go to your state’s official DMV website by typing it yourself into your browser. Do not use the link in the text.

4) Check the sender carefully

Look at the phone number. International numbers or random strings are a clear warning sign.

5) Ignore generic greetings

Real notices will usually include your name or case details. Vague language is a red flag.

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6) Consider a data removal service

Scammers often get your number from data broker sites. Removing your personal info from those databases with a data removal service can reduce these messages. Check out my top picks for data removal services and get a free scan to find out if your personal information is already out on the web by visiting Cyberguy.com

7) Block and report the number

On your phone, block the sender and report it as spam. This helps reduce future attempts.

8) Turn on spam filtering

Enable spam filtering on your phone or through your carrier to catch more of these messages before they reach you.

Kurt’s key takeaways

Todd did the right thing. He paused, questioned the message and did not click. That one decision likely saved him from handing over personal information. When it comes to messages like this, skepticism is your best defense. If something feels off, trust that instinct.

Should phone carriers and tech companies be doing more to block scams like this before you ever see them? Let us know by writing to us at Cyberguy.com

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Honda’s hybrid future starts with new Accord and RDX prototypes

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Honda’s hybrid future starts with new Accord and RDX prototypes

Honda revealed prototypes of two new hybrid models, an Accord sedan and the Acura RDX SUV, during its annual business briefing this week, built on a platform that it says will begin launching next year. The RDX was announced earlier this year as Honda’s first SUV to feature the next-gen version of its two-motor hybrid system.

In March, Honda announced it would take a writedown of up to 2.5 trillion yen ($15.7 billion) on its EV investments. Now Honda says its EV-related losses will be “resolved” by 2029, and that it will reevaluate its EV plans in 2030.

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