Netflix Facebook Post
The SEC investigation was prompted by a Facebook post by Netflix's CEO Reed Hastings in June last year. Netflix is an American company that offers video on demand. In June last year, Netflix customers watched more than 1 billion hours of streaming video.
A milestone, CEO Hastings thought, and he posted a message with the data on his personal Facebook page a few days later.
Netflix CEO Reed Hastings shares company information on his Facebook page
The share from $70.45 to $81.72
When Hastings posted the message, Netflix's stock was at $70.45. A day and a list to data half later, the stock was at $81.72. Impossible, said the US stock market watchdog SEC, and they promptly launched an investigation.
Netflix had not simultaneously issued a press release with the same figures, she argued, and the press release the company sent out later in the day did not include the data.
The day before yesterday, after an extensive investigation into the statement of the stock market watchdog, she stated in a press release that listed companies may use social media to disseminate information and therefore should no longer limit themselves to a press release.