Netflix, as you know, is working to prepare a subscription plan at a reduced price but supported by advertisements. We now learn this subscription plan could be affected by an important limitation: the inability to download content for offline viewing.
Bloomberg divulges the news, having discovered that in the code of the Netflix app for iOS devices there is still, not operational, this restriction intended for plans with advertisements. This alone is not a sufficient element that this is actually the case, but it must nevertheless be considered as an important indication and a probable possibility.
It was the same co-CEO of Netflix, Ted Sarandos, in the past months that the company is working on the introduction of a more convenient subscription plan aimed at those users who want to face a lower economic outlay and, at the same time, not have no problem putting up with some advertisements. In the current state of things, there is still no precise information on the characteristics of this piano, but the company in the past has provided some general indications, explaining for example that the ads cannot be skipped and that the user will not have the controls available. Netflix also indicated that some content may contain “restricted” statuses in the plan with advertising, which somehow dovetails with Bloomberg’s findings.
Another unknown element is the price of this piano. Currently Netflix offers – we are referring to the US market, also because it is not given whether the plan with advertising will also arrive in Italy and with what timing – a basic subscription at a price of $ 9.99 with 480p streaming and a “Standard” subscription with resolution FullHD at $ 15.49. At $ 19.99 a month there is the Premium plan which includes streaming in 4K HDR. We can choose that for the plan with Netflix advertisements it could at least initially use the cheapest subscription as a starting point and perhaps in the future experiment with other offers.
The company decided to work on an ad-supported subscription plan in response to the decline in subscribers and revenue it experienced in the first half of the year, when for the first time in 10 years it had to acknowledge a decline in number of registered users. However, this strategy also includes the repressive action towards the practice of sharing subscriptions. Netflix says some 222 million “paying households” have their subscription with another 100 million households and in the future it aims to include a more effective monetization mechanism for subscription sharing, with some testing underway in select countries.
Ad-supported subscriptions won’t see the light until early 2023, so in the next few months to learn more detailed information and details as Netflix finalizes its plans.