I'm surprised how this made it into HN front page. Looking up the author, it seems it's someone who graduated in 2018 throwing out his theory about bonds and how it's all a bubble with a nice click bait title.
The reality is very different though. Bonds are how most large companies finance themselves. And when they can issue a bond that people buy for < 5% yield, it's almost like free cash. Assuming in 2027 - Netflix has say conservatively 220M members paying an average of say $11 (which is less than the average price today, not accounting any price increases). That will be a whopping 29B in revenue. Way more than enough to pay off debt + some in a single year. This is even after accounting for a massive spend on making movies. For context Disney+ spent 1B this year and planning to spend up to $2.4 billion by 2024.
The reality is very different though. Bonds are how most large companies finance themselves. And when they can issue a bond that people buy for < 5% yield, it's almost like free cash. Assuming in 2027 - Netflix has say conservatively 220M members paying an average of say $11 (which is less than the average price today, not accounting any price increases). That will be a whopping 29B in revenue. Way more than enough to pay off debt + some in a single year. This is even after accounting for a massive spend on making movies. For context Disney+ spent 1B this year and planning to spend up to $2.4 billion by 2024.