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Netflix has blamed poor US growth on those new credit cards with chips

Netflix you missed earnings don't blame it on the EMV roll out! The media company is claiming that the roll out of new cards led to a high churn rate as customers who were issued new EMV enabled credit cards didn't update their Netflix accounts with their new card information.

Netflix is blaming disappointing US subscriber growth on the transition to chip-based credit and debit cards. These new cards are designed to combat fraud, but apparently are also wreaking havoc on Netflix's payment system. In a letter to shareholders, Netflix said its forecast for the third quarter was off due to higher-than-expected "involuntary churn" because of the transition in the US to a different credit-card technology.

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payments, capital markets