Netflix is about to cost extra for subscribers of its $12 ad-free subscription plan.
As The Verge reported on Tuesday, Reddit customers within the UK and Canada have been notified that July 13 is the final day for this system, after which they are going to transfer to a dearer ad-free subscription or a less expensive ad-supported bundle. Final 12 months, Netflix eradicated its fundamental plan for brand new and returning clients.
Again in January, Netflix introduced that it might start phasing out its fundamental tier someday this 12 months, beginning with the UK and Canada. It is unclear when U.S. Netflix subscribers will begin seeing pop-up notifications.
Netflix didn’t instantly reply to a request for remark.
Netflix’s advert tier, which initially launched in November 2022, has given the corporate its saving grace. The streaming service ended 2022 with dismal earnings because it continued to spend extra on content material whereas seeing fewer subscribers late within the pandemic. As of Might, Netflix’s advert tier had greater than 40 million subscribers, reportedly bringing in $70.44 in annual advert income per subscriber. It additionally helps Netflix’s backside line when it cracks down on password sharing.
As soon as the bottom tier is gone, those that wish to watch Netflix content material can have solely three choices: Customary with advertisements for $6.99 per 30 days; Customary with no advertisements for $15.49 per 30 days; or Premium with no advertisements and assist Extra supported gadgets for playback.
