Netflix is preparing to show ads with content on its cheap plan, find out what the company’s current plan is where ads don’t show
Netflix is considering a cheaper plan to increase its user base. The company plans to launch a cheaper plan to show ads. For the past several years, Netflix has been showing movies and TV shows without any ads. But now the company is about to make this big change. Reed Hastings, the company’s co-CEO, spoke with investors on Tuesday about the possibility of advertising.
Why is Netflix making plans cheaper?
Netflix lost 2 million subscribers in the first quarter of the calendar year 2022 (January-March). For the first time in over a decade, the number of Netflix subscribers has dropped dramatically. The company is expected to lose two million customers in the June quarter.
As the number of subscribers continues to decline, Netflix is considering lowering its plans. In this case, the company will show the content with the ad and keep the plan cheap.
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How many subscribers does Netflix have?
Netflix has around 220 million subscribers worldwide. But the company’s customer growth has stalled for some time. The company’s revenue rose 9.8% to মার্চ 7.87 billion in the March 2022 quarter. But it was still lower than Wall Street expected. Netflix estimates that there are 100 million people who enjoy the service without paying. These people use the Netflix subscription of their relatives or friends.
Sharp fall in shares
Shares of Netflix fell 27% on Tuesday. Investors have sold a lot as the company’s results have been lower than expected. As a result, the company’s shares fell 27% to $ 256.
Find out what the current plan is
Netflix’s mobile plan currently costs Rs 149. This is the cheapest plan. The company launched the mobile plan a few months ago. Netflix’s basic plan starts from Rs 199. At the same time, the company’s premium plan is Rs 649.