The Reason Alexa & Katie Was Canceled

Alexa & Katie is drawing to a natural storytelling conclusion, but it may also have reached the end of its profitability for Netflix. Netflix shows often get the axe after three seasons, lasting only 30 episodes or so; Alexa & Katie has 39. As insiders told Deadline, 30 episodes or three seasons of a show is thought to be enough to satisfy viewers, while tacking on additional seasons doesn't increase the show's value for the platform. Shows also become increasingly expensive after three seasons, as "Netflix's deals include bump/bonuses after each season that are getting progressively bigger" with "payments... escalat[ing] after season 3."

Netflix's head of original content, Cindy Holland, explained at a conference that cancellation decisions often come down to profitability. "Obviously, critical acclaim is important too, but we're really about trying to stretch our investment dollars as far as we can and make good on our investors' money — it's theirs, not ours," she said.

Other Netflix shows to be cancelled after three seasons include One Day at a Time, Love, Bloodline, and Hemlock Grove.