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(Reuters) – Netflix Inc (NFLX.(O) said on Wednesday it lost to the U.S. streaming customers, and for the first time in eight years, and missed the targets for new customers in the foreign country, an announcement which leads investors ahead of the impending competition.

Netflix shares are down nearly 12% in after-hours trading after the company posted quarterly results that showed the birth of 130,000 customers in the united states of america.

The world’s largest video service is a subscription that said it overestimated demand for the new program are released from April to June and was the result of price increases in some markets.

Netflix reported that it added 2.83 million new paid-for streaming to subscribers outside of the United States of america, below analyst expectations of € 4.8 million, according to IBES data, Refinitiv. Analysts had expected a profit of 352,000 in the United States of america.

“We missed a weather forecast in all regions, but slightly more in regions where price increases,” the company said in a letter to shareholders.

“We think that in Q2, the content of the slate, the reed is still growth in paid-for add-than we had expected,” he said.

(For an interactive graphic, click here: tmsnrt.rs/2XPFdGg)

Netflix has staked its future on international expansion and is creating original TV shows, movies, and documentaries, all for the acquisition of new customers and the retention of the existing pay a monthly subscription fee.

“While we expect slowing down of the growth rate of the user, in the united states, and a negative-paid net additions-the number is shocking,” said Clement Thibault, an analyst with the financial markets platform Investing.com.

“The problem is that, with the intensification of competition, there’s no guarantee Netflix has pricing power to raise prices without a massive bleed to the users.”

Netflix raised prices in the united Kingdom, Switzerland, Greece, turkey, and Western Europe in the second quarter of the year.

The last time that Netflix’s loss to AMERICAN subscribers, in 2011, following an uproar over a price hike and a plan to split its DVD-by-mail and streaming services.

Looking ahead, Netflix projected to grow by 7 million paid streaming customers in the third quarter, and with the help of a new season of the supernatural thriller “Odd Things”, to be released on the 4th of July. That is more bullish than that of the 6.6 million forecast from analysts polled by Refinitiv.

But looming in November, the launch of the Disney+ has been regarded as a serious entrant into the streaming market, and the initial programming on Apple Inc’s (AAPL.D). AT&T Inc (T. N) and Comcast Corp (CMCSA.(O) having said that, they are going to have their own offering for next year.

Netflix also have to deal with in the future, the loss of two of the most-streamed show. “The Office” will have to come from Netflix in January 2021 and is the head of Comcast’s streaming platform, but the “Friends” that will be the end of its run on Netflix at the beginning of the year 2020. It is only possible to see the future of AT&T’s service, HBO and Max.

The company will spend $7.5 billion online in 2018, and executives said that the amount will grow in the future, in 2019. The public debt has been tripled by 2016, and to $10.36 billion by 2018.

FILE PHOTO: The Netflix logo is seen at an office in Hollywood, Los Angeles, Los Angeles, California, USA July 16, 2018. REUTERS/Lucy Nicholson/File Photo

Net income decreased to a $270.7 million, or 60 cents per diluted share, for the second quarter ended June 30, from $384.3 million, or 85cents per share, a year earlier.

Total revenue rose to $4.92 billion from $3.91 billion.Analysts on average had expected revenue of $ 4.93 billion.

Netflix shares fell to $320.66 in the after-hours following the close of the market on the $362.44 on the Nasdaq stock exchange.

Reporting by Lisa Richwine in Los Angeles, california Vibhuti Sharma in Bengaluru; Editing by Anil D’silva and Matthew Lewis)

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