Netflix plan to introduce adverts after losing 200,000 subscribers
Netflix is set to introduce adverts to its service after losing over 200,000 subscribers in just three months.
The streaming giant recently hiked their prices up, causing a swell of people to end their subscription plans as Britain's cost of living crisis continues.
Last month, Netflix announced its numbers had fallen for the first time in a decade – losing 200,000 customers against a target of adding 2.5million new subscribers - reports the Mirror.
On the same day, they revealed that they were expecting to lose two million more in the second quarter, as the share price fell significantly, wiping away roughly $70billion in total. In response, Reed Hastings, Netflix's co-chief executive, said the company was considering introducing adverts on a cheaper subscription package, and would “figure it out over the next year or two.”
But now it seems that those plans have been sped up - and could even be in place by the end of 2022.
A note to employees, obtained by The New York Times, revealed the new cheaper offering is now pencilled to be brought in in the final quarter. The note said: "Yes, it's fast and ambitious and it will require some trade-offs.
"Every major streaming company excluding Apple has announced an ad-supported service.
“For good reason, people want lower-priced options. The executives pointed out that HBO and Hulu have been able to “maintain strong brands while offering an ad-supported service."
The note comes in the wake of Netflix hinting that they would start charging people extra for sharing accounts with people outside of their household.
The company said it is testing technology that will ask subscribers to pay an extra fee if it detects people at multiple addresses logging in to the same account.
Although Netflix's terms do not allow users living apart to share an account, it has long tolerated the practice, leading to password sharing.