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Netflix's ad tier could launch sooner than expected

Netflix's ad tier could launch sooner than expected
(Image credit: Web of Make Believe / Netflix)

Netflix with ads could land sooner than expected. The streaming service has told potential advertisers that the ad-supported tier will launch in November, Variety (opens in new tab) reports, when it was previously mooted to arrive early in 2023.

A November launch would beat arch rival Disney Plus, which plans to launch its own ad tier on 8th December.

Netflix's ad tier is reportedly ready to launch on 1st November in multiple territories, including the US, Canada, UK, France and Germany. The streaming giant refused to comment on the report, saying in a statement: "We are still in the early days of deciding how to launch a lower-priced, ad-supported tier and no decisions have been made."

According to the report, many advertisers have baulked at Netflix's high ad rate. But Netflix could be conducting what's known as a 'Dutch auction', where it keeps dropping the price until it finds enough buyers. It's a way of seeking out the biggest spenders.

Netflix is reportedly asking for a minimum spending commitment of $10 million from ad agencies. It has reportedly told them the ad tier should have 500,000 subscribers by the end of 2022.

Netflix with ads is reported to cost around $7-9 a month.

The streamer has partnered with Microsoft as its global advertising and technology partner. The ad tier won't carry the full Netflix catalogue, and could disable ads from some content, like new Netflix original films and kids' shows. And according to code from the iOS app, it might not offer downloads for offline viewing.

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Joe has been writing about tech for 17 years, first on staff at T3 magazine, then in a freelance capacity for Stuff, The Sunday Times Travel Magazine, Men's Health, GQ, The Mirror, Trusted Reviews, TechRadar and many more (including What Hi-Fi?). His specialities include all things mobile, headphones and speakers that he can't justifying spending money on.