It was announced not too long ago that Netflix will be introducing a new subscription tier that is cheaper and supports ads. Amid a difficult period for Netflix, subscriptions have been going down, and the company’s stocks took a major hit the other month.
To counter the financial losses, Netflix announced the introduction of a cheaper tier that it hopes will entice potential subscribers to sign up.
The new ad-supported tier is happening with the help of a partnership with tech giant, Microsoft. A tweet by Satya Nadella, Chairman and CEO of Microsoft Corporation, revealed the news:
Microsoft also spoke about the tier in an official blog post. Microsoft revealed that “all ads served on Netflix will be exclusively available through the Microsoft platform. Today’s announcement also endorses Microsoft’s approach to privacy, which is built on protecting customers’ information.”
In a post on Netflix’s website, Greg Peters, Chief Operating Officer and Chief Product Officer, wrote, “It’s very early days and we have much to work through. But our long term goal is clear. More choice for consumers and a premium, better-than-linear TV brand experience for advertisers. We’re excited to work with Microsoft as we bring this new service to life.
“Microsoft has the proven ability to support all our advertising needs as we together build a new ad-supported offering. More importantly, Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members.”
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Zainah Yousef
Zainah Yousef is the author of The Fallen Age Saga and specializes in gaming, social media advice, and reviews. She's been writing all her life and she probably won't stop anytime soon.
