Netflix plans to offer a cheaper subscription tier that includes commercials, but we now know that the ad-supported version of Netflix may not include all the content available on the streaming service.
As part of the Netflix Q2 2022 earnings interview, Netflix co-CEO and chief content officer Ted Sarandos was asked about licensing issues that arise when it comes to monetizing content through ads, and Sarandos said that not all series will be included in the new subscription category. But Netflix is working on adding more.
There are some things that won’t be included, and we’re having a chat with the studios, but if we launch the product today, members in the ad-supported subscription tier will have a great experience, and we’ll be clearing up some extra content, but certainly not everything.
As The Wall Street Journal reported last week, Netflix is in talks with Warner Bros. and Universal and Sony Pictures Television for series like You, Russian Doll, The Crown, and Cobra Kai for the ad-supported subscription category.
This will also affect older series on Netflix, such as Breaking Bad and NCIS from Paramount. According to the report, studios are seeking a higher percentage of revenue to allow Netflix to add their content to the new ad-supported platform.
The ad-supported subscription model was first revealed in April during a Netflix Q1 2022 earnings interview, and that category will offer a lower subscription for viewing ads, and there are already competing services like Peacock that have a similar subscription scheme.
