14 October 2022
Netflix's ad-supported tier is confirmed to become available but how those ads will work is unclear. A new Bloomberg report has finally thrown some light on what to expect from the new subscription tier. It claims that Netflix will not show ads on all content as there will be some commercial-free content as well.
The report reveals that Netflix original movies may not have ads during the initial release. It will show ads after some time the premier but the exact number of days is currently unknown. The move is to keep those filmmakers happy who may have concerns about viewers getting distracted from their work due to ads in between.
The aforementioned situation also applies to movies and TV shows that Netflix already has a license for. It is believed that some of the studious will not allow the company to add commercials in between their respective content. This is something that Netflix is expected to get around by showing ads before or/and after the movie/TV show.
The leading streaming platform may even have to pay 10% to 15% of the current licensing deal to studios and get rights for showing ads. Additionally, Netflix will keep original kids-related content completely ad-free. These are some of the things that the company is considering for its ad-supported tier. There is still time before it can finalize how exactly the ad-supported tier will work.