Netflix has been around for so long now, some folks might consider it an institution. Others, though, just another streaming option in an ocean of them. Maybe it’s the streaming service’s age that made executives feel like it didn’t need to go the route of an ad-supported option over the years. But, times change, the competition gets fierce, and suddenly you’re hoping advertisements can save the day.



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That’s what it looks like we’ll get from Netflix at some point in the near future. It has been rumored off-and-on for a bit of time now that Netflix is considering an ad-supported tier for its customers (and it’s not the only one!), which would help reduce the monthly cost for them — but obviously interject some ads into their viewing experience. And now, according to a report from The Hollywood Reporter, Netflix has confirmed an ad-supported tier is in the works.

Netflix’s starting plan kicks things off at $9.99 per month. Not the cheapest, but also not the most expensive option out there. But, prices do ramp up from there depending on how many devices you want to stream on, and just how good picture quality you want. That starting price point will change according to Netflix’s co-CEO Ted Sarandos.

He revealed the upcoming change at this year’s Cannes Lion advertising festival (which certainly makes sense).

As it stands, there won’t be any changes made to the existing Netflix tiers. That means customers shouldn’t expect to see any advertisements (other than Netflix telling you to watch more Netflix content) crop up there. Here’s Sarandos on the topic:

We’ve left a big customer segment off the table, which is people who say: ‘Hey, Netflix is too expensive for me and I don’t mind advertising,’ We are adding an ad tier; we’re not adding ads to Netflix as you know it today. We’re adding an ad tier for folks who say, ‘Hey, I want a lower price and I’ll watch ads.’

Sarandos did not confirm when the new ad-supported tier would see the light of day, though. However, earlier this year, it was rumored the company was informing employees it was expected to debut before the end of this year. That plan could change, obviously, and there’s no word on which ad companies or what have you Netflix might team up with.

Though, there were other rumors recently suggesting Netflix would team up with Google in that area. So that’s a possibility.

So, what do you think? If you don’t subscribe to Netflix already, would you opt for an ad-supported tier?

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