Netflix flew high during the pandemic, making the recent crash all the more dramatic. Because the streaming service recently lost subscribers for the first time and there is no panic at its headquarters in Los Gatos. Netflix, therefore, wants to introduce an advertising channel before the end of 2022. Advertising and Netflix have long been two words the company categorically slurred.
No wonder: the streaming portal was constantly gaining new subscribers. But recently Netflix landed on a harsh reality. There are several reasons for this: there are more and more competitors in the streaming business, there are also constant price increases, and last but not least, a reversal of quality content towards cheap mass products such as reality shows.
A cheap subscription with advertising comes
In short: something has to be done. And Netflix has already announced that it will be introducing an ad-based offering that the industry has long been asking for. In addition, Netflix also wants to take measures against the sharing of passwords, i.e. against persons and households who share access, thereby reducing their own costs.
How and when was previously unclear, but now the New York Times found out it will be so far this year. Specifically, the newspaper refers to an internal Netflix message. It states that advertising must come in the last quarter of the year. At the same time, stricter measures against the sharing of passwords will be introduced. The internal message refers to competitors who work successfully with advertising rails. HBO Max is available ad-free for $15, but those who can live with ads pay just $10 a month.
It will probably be the same with Netflix. “Every major streaming service except Apple has or has announced an ad-supported service,” the Netflix statement said. “People don’t want cheaper options for nothing.” However, sharing should not be categorically prevented, but also made a source of income. Announcing the latest (bad) numbers, COO Greg Peters said: “So if you have a sister who lives in another city and you want to share your Netflix with her, that’s great. We’re not trying to discourage that sharing, but we will ask you to pay a little more to watch with her.”
Alice is a professional writer and editor at Research Snipers, she has a keen interest in technology and gadgets, She works as a junior news editor at Research Snipers.