Netflix’s much-talked-about ad-supported plan will launch in the U.S. on November 3.
The cost will be $6.99 per month.
The latest tier is called “Basic with ads” and will give viewers four to five minutes of commercials per hour.
The commercials will be 15 or 30 seconds, and will be available before and during the content.
Moreover, subscribers will not be able to download movies and TV shows on that plan.
Another big caveat: some movies and TV shows will not be available on the ad-supported plan due to licensing restrictions.
That could be a big turn-off for potential subscribers, but Netflix is working on ironing out these licensing issues so that less content could be a short-term thing.
As competition between the streaming giants continues, Netflix has been losing ground in several key markets worldwide.
As a result, an ad-supported plan might be a good way to close the gap on the subscriber losses the company has faced in recent earnings reports.
It is a cost-effective offering, but it will all come down to just how much content is missing.
The $6.99 monthly fee undercuts Disney+ and Hulu, which are currently $6.99 apiece.
Another thing to consider is that the resolution for the advertising tier is 720p, down from the streamer’s lowest ad-free Tier, which has 1080p.
The tier is also rolling out in Canada, Mexico, Australia, Brazil, France, Germany, Korea, Italy, Japan, and the UK.
Netflix is home to some of the biggest TV shows around, including Stranger Things, Cobra Kai, Squid Game, and Dahmer.
There is a lot of uncertainty about what will happen to some of its costlier content if the ad-supported plan doesn’t move the needle in terms of subscriber growth.
What are your thoughts on the decision to introduce ads?
Would you sign up?
Hit the comments.
Paul Dailly is the Associate Editor for TV Fanatic. Follow him on Twitter.
