The threats facing Netflix are bubbling to the surface after a disappointing earnings report on Wednesday.

Netflix fell short of expectations for subscriber growth globally and lost subscribers in the US for the first time in eight years. The company also lost $16 billion in market value, bring its market value to around $140 billion at the close of trading on Friday, as some investors fled following the weak report.

It’s too early to say whether Netflix’s bad quarter was a minor setback during a normally difficult time of the year or a sign of a more persistent trend. But the report did shed light on the biggest challenges that lie ahead for the streaming-TV giant.

Netflix is bracing itself for a tidal wave of new competition in the US, including services like Disney Plus and HBO Max, which eventually plan to roll out around the world as well. The increasingly competitive landscape may make it harder for Netflix to continue raising prices the way it has.

Read more about the threats to Netflix’s pricing power: Netflix could be forced to rethink its pricing strategy as new competitors like Disney Plus and HBO Max launch

As Netflix approaches a plateau in the US, it’ll continue looking overseas to make up that subscriber growth. The company announced on Wednesday that it will be rolling out a cheaper, mobile-only plan in India during the third quarter, following months of tests there.

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