Microsoft has now probably struck its most important marketing deal yet: The Redmond-based group will be instrumental in developing ad-funded access to streaming provider Netflix. In the field of online advertising marketing, Google and Facebook are by far the market leaders. However, Netflix probably didn’t want to become dependent on this.
Microsoft itself also offers ad marketing linked to the Bing division. This managed to arouse the interest of the leading streaming service. “Microsoft has a proven track record of meeting all of our needs as we build new ad-supported offerings together. More importantly, Microsoft provides the flexibility to innovate quickly over time, both in the field of technology as well as distribution.” ensure strong data protection for our members”, commented Netflix manager Greg Peters decides on the partner choice.
Netflix has been in talks with several potential partners in recent months to handle ad sales. Negotiations have also taken place with Google. However, Microsoft offered the advantage of not having its own offering that competes directly with Netflix. However, Peters pointed out that the collaboration is still in its infancy and that many open questions still need to be clarified.
Netflix boss Reed Hastings has long opposed the introduction of an ad-funded subscription model. But recent developments, with increasing competition making it increasingly difficult to acquire new customers, have finally broken the resistance. It is now expected that Netflix will introduce a corresponding access option this year, but what this will look like in concrete terms is still unclear at the moment.
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