Last quarter was rather disappointing for Netflix as it ended up losing a lot of subscribers, which led it into exploring an ad-supported plan. The ad-supported Netflix plan is expected to launch in 2023 but it won’t include all of Netflix’s content, as per recent information.
Netflix’s Ad-Supported Plan to Have Cons!
A recent report by Deadline suggests that Netflix will skip on including the licensed content from the U.S. studios and international distributors. This means a lot of content might go missing from the cheaper, ad-clad plan. If you need to have all the options available, you may have to go for the expensive plans.
Although, there are chances this may not be the case as the video-streaming platform is in talks with the distributors so that all content can be included.
Netflix’s co-CEO and Chief Content Officer Ted Sarandos, during the recent earnings call, said, “Today, the vast majority of what people watch on Netflix, we can include in the ad-supported tier. There’s some things that don’t and we’re in conversations with the studios on, but if we launched the product today, members in the ad-tier would have a great experience. We will clear some additional content but certainly not all of it but don’t think it’s a material holdback for the business.”
It remains to be what really the ad-supported Netflix plan turns out to be and whether or not it comes with some setbacks. Whatever the case is, it will still include Netflix Original shows and movies, along with other shows and movies. The plan is expected to cost much lower than what its current plans cost. But, an official amount isn’t available as of now. We can expect more details regarding the cheaper Netflix plan to arrive soon.
It is further revealed that Netflix will launch the new plan in select markets first and based on feedback, will roll it out to more regions. This plan will include Microsoft the technology and sales partner to Netflix.
For those who don’t know, Netflix recently released its earnings report by Q2, 2022, and it has revealed that the OTT platform has lost nearly 1 million subscribers. While this is still a lot, it is less than the predicted 2-million mark. It’s revenue also grew 9% year over year.
So, do you think the Netflix ad-supported plan will be a disappointment? Share your thoughts with us in the comments below and stay tuned for more updates on this.
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