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Netflix May Introduce Adverts, Crack Down on Password Sharing by the Finish of This 12 months, Source Says – NECN



  • Netflix might roll out its lower-price, ad-supported tier as early as this yr, a supply conversant in the matter instructed CNBC.
  • That would put it on a a lot sooner monitor than Netflix initially indicated.
  • Netflix can be anticipating to begin cracking down on password sharing in that very same time interval.

Netflix might roll out its lower-price, ad-supported tier as early as this yr, a supply conversant in the matter instructed CNBC.

Netflix executives instructed workers in a notice they had been working to introduce the tier by the final three months of 2022. That would put it on a a lot sooner monitor than Netflix initially indicated. During its most up-to-date earnings convention name, co-CEO Reed Hastings mentioned the corporate was nonetheless determining the mannequin and an ad-supported choice would not be accessible on the service for a yr or two.

But Netflix has struggled with a stagnating subscriber base and a plunging inventory, down greater than 71% yr to this point. An ad-supported tier might assist entice and retain price-conscious customers.

Netflix can be anticipating to begin cracking down on password sharing in that very same time interval.

The firm mentioned final month it estimates greater than 100 million households globally use a shared password to entry its content material — 30 million of these within the U.S. and Canada. That’s contributed to income development and subscriber headwinds, it mentioned.

The New York Times first reported the accelerated timeline for the adjustments Tuesday. A Netflix spokesperson declined to remark.

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