Netflix Eyes Global Expansion with Potential Free Ad-Supported Streaming Plan

According to a report, Netflix may introduce a complimentary plan, enabling users to enjoy its content without paying, albeit with advertisements. The video-streaming service is contemplating introducing this no-cost option in select regions worldwide. If implemented, this new category would be below the existing ad-supported subscription, which is currently the cheapest way to access Netflix, but only in specific areas.

Referring to a Bloomberg report, the video-streaming service has discussed rolling out a free plan in Asian and European markets where other free TV networks also have complimentary options. This plan is speculated to offer no-cost access to Netflix's content, supplemented by ads. Individuals acquainted with the company’s plans suggest this move aims to expand the audience of the streaming platform.

If accurate, this would not be the first time Netflix has offered free video streaming. In 2021, a no-cost option for Android users was launched in Kenya but was discontinued last year. Although the target may be users in Asia and Europe, the report indicates that there are plans to introduce this free tier in the US. Notably, Netflix already offers an ad-supported plan, which is the most economical way to enjoy its content, priced at $6.99 (approximately Rs. 600) monthly.

Amy Reinhard, Netflix's President of Advertising, stated that the current ad-supported plan has 40 million active users globally, a significant increase from 5 million users last year. Moreover, the company asserts that 40 percent of all its new sign-ups come from the regions where the ad-supported plan is available.

According to the report, the rumored complimentary plan might attract more viewers and boost advertising revenue for the streaming service. If true, this would align with the company’s intent to launch an in-house advertising technology platform by the end of 2025. Netflix claims this would unveil new opportunities for advertisers, including innovative purchasing methods, enhanced insights, and improved impact measurement techniques.