Netflix announces cheaper subscription plans but with downsides, ads

This week, Netflix announced that they will launch new cheaper package for your subscription service, but comes with a big disadvantage, this new level will have ads.

As reported in the past, this new Pack will provide the same as the current base level, but with ads that will last 4 to 5 minutes on average for each hour of the user’s view. There will also be some restrictions on TV shows or movies that won’t be available due to license restrictions or the inability to download titles, so approx 5% to 10% from Netflix programming won’t arrive for this alternative plan.

This new basic package with ads will start working November 1 in the following countries: Australia, Brazil, Canada, France, Germany, Italy, South Korea, Mexico, the United Kingdom and the United States for $6.99 per month, $3 off its cheapest no-ads plan. Coming in Japan November 3rd and Spanish will be released on November 10.

Initially, Netflix executives had very opposite add ads to your service for years. The change of heart announced this April comes after the company has lost almost a million subscribers in the second quarter of this year.

Another major difference from the new base plan with ads is that movies and series will be limited to 720p resolution.

“At Netflix, we have a great opportunity ahead of us to develop our company and attract more customers. And part of that is having different plans at different prices,” said one company executive.

font type: Reuters

Roderick Gilbert

"Entrepreneur. Internet fanatic. Certified zombie scholar. Friendly troublemaker. Bacon expert."

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