Here's who Netflix just brought in to run content — and what it means for the streamer

On Thursday, the streaming giant announced that former Disney executive Peter Rice will take over as the company's chief content officer, overseeing global content organization, including scripted and unscripted series, film and live events.

Rice is replacing 10-year Netflix veteran Bela Bajaria, who most recently led the company's global content team with a focus on its live sports strategy. Bajaria was initially hired in 2016 to help the streamer launch an unscripted division as well as licensing and studio co-productions. She later transitioned to the top creative role, spearheading Netflix's $20 billion content budget.

She oversaw popular TV series like "Stranger Things," "Wednesday," "Bridgerton," "Squid Game," "Adolescence" and "Beef," as well as Netflix films like "Frankenstein" and "KPop Demon Hunters." Bajaria also helped push Netflix into live sports and events, including deals with the WWE and the NFL as well as programs like "The Roast of Tom Brady."

Prior to his stint at Disney, Rice was president of 21st Century Fox and CEO of Fox Networks Group as well as Fox's lead executive on the Hulu board. He was also the president of Fox Searchlight Pictures and helped release "Slumdog Millionaire," "Juno," "Little Miss Sunshine" and "Sideways."

The executive change follows a tumultuous period for Netflix as it faces stagnating viewership and explores avenues for growth. It comes just days after the streaming giant laid off roughly 1,000 employees, or 6% of its workforce.

The last time Netflix made cuts of this size was in 2022 when it reported its first quarterly subscriber loss in more than 10 years.

"We believe this round of layoffs reflects more structural changes to the cost base than a reaction to near-term subscriber dynamics," wrote Brian Pitz, managing director and head of internet and interactive entertainment equity research at BMO Capital Markets, in a research note published Friday.

In July, Netflix reported viewership increased just 2% in the first half of the year as the streamer suffers from a lack of shows with water-cooler-level hype.

Co-CEO Ted Sarandos admitted last month during the Bloomberg Screentime conference that the company is "not growing as fast as I want us to."

Those warnings, and now Bajaria's exit, have Wall Street bracing for more turbulence ahead.

"The sudden departure of Bajaria likely signals to us that user engagement may have remained soft throughout [the third quarter]," Pitz wrote.

In July, Nielsen reported that Netflix had generated 7.8% of TV viewership, while YouTube accounted for nearly double that, at 14.2%.