Netflix Is Making Its Ad Plan More Tempting

When Netflix launched its ad-supported subscription in November, it marked a major about-face for a company that had always stood by its commercial-free policy. Basic with ads rolled out a month before Disney Plus came out with its own ad-based plan, and it's now the cheapest subscription tier available on Netflix. The plan costs $7 a month for a single stream and HD video quality, but the streamer is making changes. 

In a letter to shareholders Tuesday, Netflix shared that, although it's early, it's seeing success with its ad-supported plan. Therefore, the company is introducing a set of upgrades, including 1080p video quality (an increase from 720p) and the ability to stream on two devices simultaneously. The changes will go into effect in 12 regions, with subscribers in Spain and Canada seeing the upgrades Tuesday. 

Netflix's ad-supported subscription costs less than rivals HBO Max ($10 with ads) and Disney Plus ($8 with ads), and the company says that the new plan contributed to subscriber growth in the first quarter of 2023. The streaming giant aims to attract more customers with the addition of new features and a low price. Netflix has not said whether there are plans to change the price of its ad-based subscription or whether its ad-free basic plan will get an increase in concurrent streams. 

Below is a look at its current subscription offerings in the US.

In addition to upgrading its ad-based subscription, Netflix will roll out its password-sharing fees in the US this summer in an effort to increase its revenue.