Netflix is partnership up with Microsoft to launch its first ad-supported subscription service. The company announced that Microsoft will be its global advertising technology and sales partner in an announcement. Netflix announced in April that it would launch a new ad-supported subscription service with lower prices for customers.
The announcement came after Netflix reported a difficult quarter with subscriber losses. The new ad-supported plan will be added to the "existing ad-free basic, standard, and premium plans." In India, Netflix also offers a mobile-only plan.
Netflix wrote in a blog post, "Microsoft has the proven ability to support all of our advertising needs as we collaborate to build a new ad-supported offering." More importantly, Microsoft provided the freedom to innovate over time in both technology and sales, as well as strong privacy safeguards for our members." Because of this collaboration, all advertisements served on the streaming service will be served through Microsoft platform. It was previously reported that Netflix was in talks with Google and Comcast Corp NBC Universal about potential collaborations.
"Marketers looking to Microsoft for their advertising needs will have access to the Netflix audience and premium connected TV inventory," Microsoft wrote in a separate blog post. Today announcement also supports Microsoft approach to privacy, which is based on safeguarding customers data."
When will the ads come on netflix
First, Netflix will separate the ad-support plans from the existing plans. Because these newer plans will have advertisements on them, they may be much cheaper. It is unclear whether Netflix will make changes to its mobile, basic, and standard plans in India, given that these are typically priced much lower than the market price in the United States. Ads are available on more basic plans from competitors such as Disney+Hotstar.
It has previously been reported that Netflix ad-supported plans could be implemented by the end of 2022. It is unclear whether they will be released globally or in a small number of countries first.
Netflix also intends to restrict account sharing, potentially limiting it to immediate family members only. Customers may soon be charged for sharing account passwords with other friends and family members.