Recently, there have been discussions about Netflix potentially removing its cheapest ad-free subscription option. These speculations have been confirmed during the company’s financial period meeting.
Netflix announced that it would end its cheapest ad-free subscription option in the US and France. The company had already started a test process in Canada and the UK. Consequently, in these four countries, existing users will have to choose between the ad-supported or Standard options. Initially, this choice was only applicable to new subscribers, but now it extends to existing ones as well.
Although Netflix has been increasing its subscriber base, it has struggled to meet its revenue expectations. The company has over 40 million ad-supported subscribers and aims to generate significant revenue from advertisements. Additionally, by encouraging subscribers to switch to more expensive plans, Netflix hopes to boost its overall income.