Is Netflix Ending Its Basic Ad-Free plan? Is This the Conclusion of Your OTT Experience?

Netflix will replace its Basic ad-free plan with a more expensive option in the US and France, requiring customers to choose between the two. This change follows Netflix's previous decision to change the Basic plan for new users last summer and later for existing users in the Uk and Canada. It remains not clear whether affected members will be automatically moved to another plan, but according to reports from Microsoft Start Mews, a spokeswoman has confirmed that impacted users have been notified and have a 30-day window to switch plans. 

Updated Subscriptions options

Netflix offers a “Standard with ads” plan priced at $6.99per month, catering to budget-conscious users to download content on two devices and stream nearly all movies and TV shows simultaneously on two supported devices. According to Netflix co-CEO Greg Peters, this ad-supported plan provides substantial entertainment value. Alternatively, subscribers can opt for the “Standard” plan at $15.49 per month, which mirrors the features of the ad-supported plan but without advertisements. This plan also includes the option to add an extra member, part of Netflix’s efforts to curb password sharing. 

Business Performance and expansion

Since implementing advertising and tackling unauthorized viewers, Netflix has experienced substantial growth. The company attracted approximately 55 million paying subscribers, resulting in a significant boost in revenue. In the period between April and June, Netflix saw a rise of 8 million members for the sixth consecutive quarter, marking a 37% increase compared to the same period in the previous year. In its latest quarter, Netflix surpassed analyst predictions, achieving a 44% increase in profit year-over-year to $2.15 billion, or $4.88 per share. Revenue also exceeded expectations by 17%, reaching $9.56 billion compared to the last year.

Why is Netflix discontinuing the Basic ad-free plan? 

Netflix is discontinuing the Basic ad-free plan in the US and France as part of an effort to simplify subscription choices and harmonize with adjustments made in other areas.

What are the new subscription options available?

Customers have the option to select either the "Standard with ads" plan priced at $6.99 per month or the ad-free "Standard" plan at $15.49 per month, which includes the option to add an additional member.