Reed Hastings Net Worth $2.1 billion
Reed Hastings salary $900,000,000
Reed Hastings Net Worth: How rich is Reed Hastings? &How much money is Reed Hastings worth? Time to find out!
Born in Boston, Massachusetts, he is the son of Joan Amory and Wilmot Reed Hastings.
Growing up he went to Buckingham Browne & Nichols in Cambridge, MA. Later he joined the Marine Corps officer training through their Platoon Leader Class. While there he spent the summer in Officer Candidate School in Virginia.
Upon graduation, he joined the Peace Corps and started to teach high school math in Swaziland.
After Peace Corps he attended Stanford University from where he graduated with a master’s degree in computer science.
How did Reed Hastings start his career?
He started working at Adaptive Technology where he created a tool for debugging software. A while after he left there too to found his first company called Pure Software, which produced products to troubleshoot software.
It didn’t take long until the company achieved success, which proved challenging for him as he lacked managerial experience.
Because of his engineering background he didn’t have any idea how to be a CEO and had to ask his board to replace him. However, the board didn’t agree with him and he had to learn how to be a businessman.
How did Reed Hastings get famous?
After the company merged with Atria Software, it integrated programs for detecting bugs in software with Atria’s tools to manage development of complex software.
A year later, Rational Software acquired the combined company, an event which triggered a 42% drop in both companies’ stock.
He then became Chief Technical Officer of the companies but left soon after.
How does Reed Hastings make money?
The following year, he founded what became a famous company, Netflix, which offered flat rate movie rental-by-mail to customers in the US.
Having its headquarters in Los Gatos, California, Netflix gathered 100,000 titles and over 93 million subscribers.
He learned for his experience at Pure Atria that problems come with growth and tried to minimalize the problems by building a company that would grow without losing its entrepreneurial spirit while doing it.
As the company grew, it started to get noticed for its innovative management practices, which were the results of the culture Hastings tried to explore called Freedom and Responsibility.
Today Netflix pays its employees, salaries that are much higher than usual, to attract the best talent. They are one of the few companies where its employees can choose annually how much their compensation they want in cash vs. stock.
Netflix also removed sick and vacation time for employees, allowing them to manage this time off individually.
Then in 2007, Netflix launched a service which allowed customers to stream movies and television to computers.
Apart from his company, Hastings is a director of the board of Facebook, where he also owns $10 million worth of shares.