In a recent move, Netflix has phased out its basic subscription plan in the U.S. and the U.K. Following the removal of the plan in Canada, this step signals a potential global expansion of ad-supported options. The basic plan, which allowed users to stream content on one screen in 720p quality, will no longer be available for new subscribers.
While existing subscribers on the basic plan can continue using it, new users won’t have the option to purchase this entry-level subscription. Instead, Netflix has been focusing on its ad-supported plans, which offer attractive features at competitive prices.
According to reports, the company introduced its first ad-supported plan in Canada and Mexico before launching it in several countries, including the U.S., the U.K., France, Germany, Italy, Australia, Japan, Korea, and Brazil. The ad-supported tier, known as “Standard with ads,” enables simultaneous streaming on two devices in full HD resolution, and it is priced at $6.99 per month in the U.S. and £4.99 per month in the U.K.
For users who prefer an ad-free experience, Netflix still offers its premium subscription, priced at $15.99 or £10.99 per month. With these changes, the streaming giant aims to cater to diverse user preferences and expand its offerings in response to changing market dynamics.
The removal of the basic plan comes ahead of Netflix’s Q2 2023 financial announcement. In May, the company reported that its ad-supported tier had amassed over 5 million users worldwide. Analysts also estimate that ad-supported plans contributed to 17-20% of new signups during the March to June quarter.
As Netflix continues to explore different subscription models, users can expect a wider range of options to suit their streaming needs in the future. The company remains committed to providing quality content and seamless viewing experiences while adapting to the evolving demands of its global audience.
