Netflix’s expansion into an ad-supported model is proving successful. At its 2024 upfront presentation, the streaming giant announced that its ad-supported tier now boasts 40 million monthly users globally. This is a significant increase from 23 million earlier in the year; it took six months for the ad-supported option to reach 5 million users after its 2022 launch. As of April, Netflix has a total of 270 million subscribers across all tiers. Additionally, in regions where ads are available, over 40 per cent of new users are choosing the ad-supported tier.
To mark this milestone, Netflix revealed plans to launch an ‘in-house advertising technology platform.’ While Netflix initially partnered with Microsoft as its ‘global advertising technology and sales partner,’ it is now expanding its partnerships to include Google, The Trade Desk, and Magnite.
This announcement coincides with Netflix’s increased focus on live events. The company has secured the streaming rights for NFL games on Christmas Day, adding to its lineup of live comedy specials and upcoming events such as a boxing match between Jake Paul and Mike Tyson and weekly WWE broadcasts. This shift towards live programming comes as Netflix and its competitors increasingly mimic the cable TV model of the past, with price hikes and bundled offerings.
Source: Social Samosa
