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Netflix announces European expansion

netflixNetflix has announced that it will begin to operate in six countries in Europe.

The online tv and film streaming service will first extend its offering to the French, German and Swiss markets.

Later in 2014, it will enter Austria, Belgium, and Luxembourg.

No announcement was made about the Iberian Peninsula.

The US firm has some 50 million monthly subscribers in more than 40 countries. 35.7 million are in the US, 1.5 million subscribe in the US and 12.7 million users elsewhere.

The pricing structure for the countries new to Netflix has not been announced yet. In the UK a subscription costs £5.99 a month and in the Netherlands if is €8.99 each month.

For each country it enters, Netflix faces complex rules as well as competitors. In France, for example, a film cannot be streamed on a subscription video service until three years after it has been released.

The company’s US streaming business reported a $201m (£119m) profit for the first three months of the year.

Around one-quarter of its streaming revenue comes from overseas markets. It predicts international revenue will eventually surpass that of its US market.

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