Netflix will charge $6.99 a month for new ad-supported plan starting Nov. 3 in U.S.

Netflix volition complaint $6.99 per period for its caller advertising-supported tier, which the institution volition rotation retired successful the U.S. connected Nov. 3.

Netflix's "Basic with ads" tier volition see an mean of 4 to 5 minutes of commercials each hr and won't springiness users the quality to download movies and TV series. A constricted fig of TV bid and movies volition initially beryllium unavailable owed to licensing restrictions.

Ads volition beryllium 15 oregon 30 seconds successful magnitude and volition play earlier and during Netflix's content. Companies volition person the quality to forestall ads from appearing connected contented they deem unsavory oregon unsuitable. To assistance advertisers recognize its reach, ratings institution Nielsen volition usage its modular integer assemblage measurement, Digital Ad Ratings, successful the U.S. opening successful 2023.

Netflix is launching its archetypal less-expensive program with commercials after years of rejecting the concept. The determination comes arsenic subscriber maturation has plateaued successful caller quarters. Netflix lost subscribers successful the archetypal 2 quarters this year and expects to adhd conscionable 1 cardinal customers successful the 3rd quarter. The institution has astir 221 cardinal subscribers globally, which makes it the largest worldwide streaming service.

Netflix volition denote its third-quarter net aft the marketplace closes Tuesday and plans to unveil subscriber forecasts for the advertizing service, according to Chief Operating Officer Greg Peters. Netflix is partnering with Microsoft for its advertising-supported service. The streaming institution volition person hundreds of advertisers astatine motorboat and has astir sold retired its inventory, the institution said successful a media league call.

Initially determination volition beryllium nary advertizing wrong kids programming and caller movies. Older films whitethorn person mid-roll advertising.

Netflix's $6.99 per period pricing is little costly than ad-supported Disney+ and Hulu, which volition some beryllium $7.99 per period erstwhile Disney+'s advertisement tier launches successful December. HBO Max with ads is $9.99 per month.

Netflix priced the work truthful that immoderate lawsuit who switches to the ad-supported work from the ad-free basal program volition person a "neutral to positive" effect connected the company's revenue, according to Peters.

That suggests Netflix volition get astatine slightest $3 a period per idiosyncratic successful advertizing revenue.

"We privation to connection consumers prime and fig retired what the champion offering is for them," Peters said during the league call.

Video solution for Netflix's advertizing tier volition beryllium 720p alternatively than 1080p, the prime of Netflix's modular program that costs $15.49 per month. The company's basal program without advertizing is $9.99 per period and besides has 720p resolution.

The advertizing tier volition initially beryllium disposable successful Canada and Mexico connected Nov. 1, followed by Australia, Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico, the U.K. and the United States connected Nov. 3. Spain volition motorboat connected Nov. 10.

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