Netflix To Roll Out Ads, Stop Password Sharing Before The End Of 2022
Netflix wants to turn around its slowing revenue growth and first subscriber drop in over a decade as quickly as possible. The company is focused on re-evaluating some aspects of its programming and introducing new shows.
Netflix had previously planned to introduce an ad-supported tier of streaming, but after the report passed, its stance changed. The timing for this new tier is unknown, but it could be within the last three months of 2022. The crackdown on password sharing will also happen during this time frame.
Disney Plus announced its own intentions for ad-supported streaming in March. Catie Keck wrote about this and asked how long would it take for others to follow Disney’s lead. The answer appears to be “not very long at all,” as the Times noted that all of Netflix’s competitors, with the exception of Apple TV Plus, either offer or have announced ad-supported streaming tiers.
When Netflix announced that it was going to focus on securing passwords, analyst Richard Greenfield told The Verge that this would allow for about 10 to 20 million more customers.
Netflix has recently done a price increase, raising the price of its streaming service by $1.50 per month.