Netflix CEO Says He Won’t Stop Posting on Facebook31 Jan, 2013 By: Erik Gruenwedel
Netflix CEO Reed Hastings said he has no intention of halting occasional posts on his Facebook page — despite the fact the U.S. Securities and Exchange Commission is deciding if it should file a lawsuit against the subscription video-on-demand pioneer and co-founder for a disclosure made last year on the social media website.
In a Jan. 30 interview with Bloomberg, Hastings said he took issue with the federal government’s contention that he and Netflix last summer violated Regulation FD of the SEC, which mandates public disclosure via press release or regulatory filing of information pertinent to investors.
Hastings July 3 on his Facebook page said Netflix streaming hours had “exceeded 1 billion hours for the first time.”
The SEC staff last December issued a statement saying it believed Hastings and Netflix had erred in following proper disclosure protocol. The finding could lead to formal charges being filed by the SEC.
Hastings argued that his Facebook page has more than 200,000 followers, many of whom work for the media. Indeed, in the hours following the post many online news sites had posted Hastings’ comment, including www.HomeMediaMagazine.com.
“I wasn’t setting out to set an example,” Hastings said. “I was sharing something to these 200,000 people. I’m not going to back down and say it’s inappropriate. I think it’s perfectly fine. Sometimes you’re just the example that triggers the debate.”