Over a three-hour dinner, Mr. Sarandos was charming and upbeat, dressed down in Levi’s and sneakers. You would by no means know he had been by way of a Job-level run of unhealthy fortune in the previous few months. First, his father, with whom he was very shut, died. Soon after, his mother-in-law, Jacqueline Avant, with whom he was additionally very shut, was shot to demise when she encountered a burglar in the midst of the night time at her Beverly Hills residence. Ms. Avant, famend in Hollywood for her magnificence, artwork gathering, philanthropy and group organizing in Watts, Calif., was the spouse of Clarence Avant, a music mogul referred to as the “Black Godfather.”

Then, on high of Mr. Sarandos’s private woes, Netflix skidded from speedy progress to grind-it-out. (Its inventory peaked above $700 a share in November 2021 and has now fallen beneath $200.)

The rise of Mr. Sarandos, a group faculty night-school dropout, from a video retailer clerk in Arizona to the head of Hollywood, is known.

“He’s had more singular influence on movies and television shows than anyone ever had,” Barry Diller instructed me. “He has denuded the power of the old movie companies that had held for almost 100 years. They are now irrelevant to setting the play and rules of the day. If there is still a Hollywood, he is it.”

Only a number of years in the past, the Netflix foyer was the good place on earth. Now it’s instantly gloomy. In her “Saturday Night Live” monologue final weekend, Natasha Lyonne, the star of Netflix’s “Russian Doll,” sarcastically cracked that the “two things you definitely want to be associated with right now are Russia and Netflix.”

After successful the pandemic, Netflix now finds itself in its personal model of its survival drama “Squid Game.” The firm hit a ceiling, for now, of some 220 million subscribers, after considering it may get to a billion with its international empire, and that has thrown a wrench into the way forward for Netflix and streaming usually. Wall Street instantly turned a chilly shoulder on its former darling, telling Netflix, Guess what, guys, you’ve received to earn a living, not simply develop subscriptions.