Netflix names Peter Rice content chief after 1,000 layoffs and 40% stock slump

Netflix is replacing its top content executive after a bruising stretch, bringing in former Disney and Fox TV chief Peter Rice to run the streamer's $20 billion budget for movies and shows. Rice will start on October 26, replacing Bela Bajaria, who is leaving after nearly a decade, the company announced Thursday. The move comes one day after Netflix laid off about 1,000 employees, its biggest round of cuts in four years, as Wall Street questions the company's long-term direction.

The urgency is visible in the numbers: Netflix shares have fallen nearly 40% over the past 12 months, and co-CEO Ted Sarandos acknowledged last month that the company is 'not growing as fast as I want us to, and we're working on making that move faster.' Engagement growth was only 2% in the first half of 2026, with free platforms YouTube and Tubi eating into viewers' time. YouTube is now the most-watched service on US TV screens, leaving Netflix dominant among paid streaming but suddenly vulnerable on overall attention.

Rice arrives with one of the most scrutinized résumés in media. He previously ran Disney's TV arm, overseeing Hulu and networks like ABC, Disney Channel, and FX, before being fired in 2022 by then-CEO Bob Chapek and replaced by Dana Walden, now Disney's creative chief. Sarandos called Rice 'one of the most effective at-scale operators in the entertainment industry,' adding that his 'business acumen is sharp, his talent relationships are exceptionally strong, and his experience across TV and film is deep and broad.'

Sarandos credited Bajaria with leading 'enormous changes at Netflix,' including broadening its content mix to live events and sports. Under her tenure, Netflix produced hits like 'KPop Demon Hunters,' its biggest movie ever, along with breakout shows 'Wednesday' and Emmy winner 'Adolescence.' Bajaria took the top content job in 2023 and memorably described the ideal Netflix show as a 'gourmet cheeseburger.' Her departure marks the end of a nearly decade-long run as the company's content architect.

The leadership shake-up comes after a particularly harsh stretch for the streaming giant. Netflix's attempt to buy Warner Bros., which was ultimately stymied by David Ellison's Paramount, soured Wall Street's narrative about the company's future. Still, Netflix had more than 325 million subscribers as of its last disclosure in January, making it the clear leader among paid streaming services despite slowing growth.

Rice now has to figure out the right content mix to defend that lead against Hollywood rivals and social-media competitors like Instagram and TikTok. With YouTube already ahead on US TV screens)Skip and free services like Tubi gaining ground, the new content chief's early decisions on live events, sports, and big movies will set the tone for Netflix's next phase. For every other media executive, Bajaria's exit and Rice's arrival is a reminder that content leadership is no longer just about picking hits; it is about defending attention in a market where the competition no longer charges for access.