The cheaper Netflix subscription with advertising is coming. And it gets a more limited supply.
It has been known for a while that a cheaper subscription from Netflix with advertising in between has been announced. But what that will look like remains to be seen. Slowly we learn more and more.
We already knew that Microsoft will provide the technology behind the scenes. Now Netflix is also announcing when we can expect the “budget” subscription. It should be in the first quarter of 2023.
Limited offer
What Netflix also announces is that the offer available to subscribers in this subscription will be limited. Netflix CEO Ted Sarandos explains what that will look like around the presentations of the quarterly figures. All Netflix Originals will be available. Think of content like Stranger Things and The Umbrella Academy.
Films and series that are made externally will not all be available for the cheapest subscription variant. Not to bully those budget customers, but because contractually it is simply not allowed. The agreement Netflix has with them simply does not provide the space for this. This is being worked on, so there may be improvements in the future.
Netflix commercial
With the new subscription form, Netflix hopes to tap into a group of potential subscribers who find a regular subscription too expensive. And those who find an advertising block here and there no problem, of course. CEO Ted Sarandos also hastens to say that for the existing subscribers nothing will change in the existing subscriptions. A new shape is added and the rest remains untouched.
Prices for the new “budget” subscription have not yet been announced.