Netflix has announced that Microsoft will be the global advertising technology and sales partner for its ad-supported plan.
Greg Peters, Netflix’s Chief Operating Officer and Chief Product Officer, shared the following statement regarding Microsoft’s involvement:
Microsoft has the proven ability to support all our advertising needs as we work together to build a new ad-supported offering. More importantly, Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members.will be ready for launch. In the long-term, the goal is to give subscribers more choice and offer a “better-than-linear TV brand experience” for advertisers.
With that said, the ad-supported plan on Netflix will certainly cost less than the basic plan, which is $9.99 a month. How much less remains to be seen. In the meantime, Netflix is set to share its quarterly earnings on Tuesday. The company has warned investors that up to 2 million more subscribers could cancel in the second quarter. If the losses are as severe as Netflix has predicted, launching the ad-supported tier as quickly as possible will undoubtedly be a top priority for the company.
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