In a recent development that will impact the pricing structure of its subscription plans, the streaming giant Netflix has announced its decision to phase out the most affordable ad-free subscription tier in select countries. This change was revealed in a recent earnings report.
Starting from the second quarter of 2024, Netflix will discontinue the $11.99 ad-free Basic plan, with Canada and the UK being the first to see this shift. The move to eliminate this option will extend to other regions later on, with the specific timeline yet to be announced. This information was initially reported by The Verge.
With the removal of the $11.99 ad-free Basic subscription, viewers in affected countries will need to consider other subscription levels. The next least expensive ad-free option will be the $15.49 plan, which will become the lowest-tier ad-free subscription available once the Basic plan is taken off the menu. Subscribers might alternatively opt for the more expensive $22.99 Premium plan that also excludes advertisements or choose to save money by selecting the more affordable $6.99 Basic plan that includes ads.
In another strategic move, Netflix has also closed a substantial $5 billion deal that stretches across a span of ten years, with this partnership bringing WWE’s Monday Night Raw to the platform.
The Netflix executive team addressed the subscription adjustments, expressing that occasional price recalibrations are to be expected as the company continues to invest in and enhance the user experience on the Netflix platform.
