Netflix's Upcoming Ad-Supported Tier Won't Allow Downloads for Offline Viewing

[MacRumors]

The upcoming ad-supported Netflix tier that's in the works will not allow subscribers to download TV shows or movies to watch offline, reports Bloomberg. The restriction was found in code in the Netflix app for iOS devices, which reads "Downloads available on all plans except Netflix with ads."

Standard Netflix plans allow some Netflix content to be downloaded for offline viewing, and restricting that feature to the more expensive Netflix tiers will allow Netflix to differentiate between existing plans and the new ad-supported plan.

Netflix co-CEO Ted Sarandos confirmed in June that Netflix is planning for a more affordable Netflix tier that is aimed at those who do not mind ads and who do not want to pay for an ad-free Netflix subscription. "We've left a big customer segment off the table, which is people who say: 'Hey, Netflix is too expensive for me and I don't mind advertising,'" Sarandos said. "We are adding an ad tier; we're not adding ads to Netflix as you know it today. We're adding an ad tier for folks who say, 'Hey, I want a lower price and I'll watch ads.'"

Bloomberg says that Netflix also does not plan to allow customers to skip ads or access playback controls while ads are playing, and Netflix previously confirmed that some content would be limited to ad-free streaming. The ad-supported Netflix tier is not set to launch until early 2023, however, so there could be updates as Netflix finalizes its plans.

There is no word yet on what the ad-supported Netflix service will be priced at, but Netflix has raised its prices several times in recent years. The Basic Netflix plan is now priced at $9.99 and it offers 480p streaming, while the Standard plan is priced at $15.49 for 1080p resolution. Netflix's most expensive Premium plan, priced at $19.99 per month, is the sole tier that offers 4K HDR streaming. Netflix continues to be only streaming service that charges extra for improved streaming quality, and the ad-supported tier will likely offer streaming quality similar to the Basic plan.

Netflix is introducing an ad-supported tier because it has been losing customers and revenue. The company lost subscribers for the first time in 10 years in the first quarter of 2022, and blamed both "a large number of households sharing accounts" and "competition."

In addition to adding a cheaper plan, Netflix is also going to crack down on account sharing. Netflix says that approximately 222 million paying households are sharing with another 100 million households that are not being monetized, with the company planning to implement more effective monetization of multi-household sharing" in the future. Fees for multi-household account sharing are already being tested in some countries and could expand to additional countries in the future.

Article Link: Netflix's Upcoming Ad-Supported Tier Won't Allow Downloads for Offline Viewing

 

[icanhazmac]

Netflix just keeps rolling out the hits!

Almost done with Stranger Things and then the sub gets canceled for a while, will probably fire up HBO for a couple of months.

 

[adbe]

This seemed kinda obvious no? Even if they spliced a commercial into the download, which is not trivial, they can't track impressions or switch out the ad when desired, so naturally no download on an ad funded tier.

 

[Lestdog]

The ‘ol ad model sneaks it’s way into everything.

 

[Realityck]

Rival services such as Disney’s Hulu, Warner Bros.’ HBO Max and Comcast Corp.’s Peacock already rely on ad-supported tiers to fuel growth. The budget versions of services like HBO Max also turn off the downloading option.

I don't see this as a negative. Take Rakuten Viki as an example. They offer free content with ads, for $5/month standard access they offer no ads/HD, and increased content. It you have the plus access for $10/month they allow downloads.

So Netflix not allowing downloads for their $8/month subscription with ads sounds about the same.

 

[TheYayAreaLiving 🎗️]

Just getting worst day by day.

I’m so glad I canceled my account a long time ago. Don’t have the time to be playing games with Netflix and their non-strategic business model.

Hopefully, Netflix will continue to lose its subscribers in the coming days/months.

 

[kasei]

This just confirms it. I am still not going back to Netflix.

 

[jakey rolling]

Ahh, in with the old, out with the new. In another five years, streaming services will just be the Cable TV model, but with all your internet bandwidth being eaten up.

 

[Lestdog]

responded to the wrong person.

 

[Realityck]

This seemed kinda obvious no? Even if they spliced a commercial into the download, which is not trivial, they can't track impressions or switch out the ad when desired, so naturally no download on an ad funded tier.

Exactly, how could they manage required ads with a download?

 

[alexhardaker]

Apple TV+ is better anyway. It’s cheaper in the long run to purchase the shows you want to watch.

When Disney+ goes up in price in Europe, I’ll drop that too. I don’t want ads on a service unless it’s free.

 

[JGIGS]

The ‘ol ad model sneaks it’s way into everything.

I guess but it's still better to at least have the option if you want it, no? But not sure I'd pay for an ad subscription. That seems a bit odd if they plan on going that route.

 

[Realityck]

Just getting worst day by day.

I’m so glad I canceled my account a long time ago. Don’t have the time to be playing games with Netflix and their non-strategic business model.

Hopefully, Netflix will continue to lose its subscribers in the coming days/months.

We all manage our entertainment budgets, heck how many sVODs could you afford with one less dinner out?

 

[contacos]

How kind of them! Charging less while making even more money at the same time from advertisers. I was going to joke how it will probably have 480p or something ridiculous in 2022 until I found out they already offer this on a 10 bucks plan 😳🤯 wtf

Something about them is rubbing me the wrong way. I am just glad, they only see Mexican pesos from me

 

[DEMinSoCAL]

I don't see this as a negative. Take Rakuten Viki as an example. The offer free content with ads, for $5/month standard access they offer no ads/HD, and increased content. It you have the plus access for $10/month they allow downloads.

So Netflix not allowing downloads for their $8/month subscription with ads sounds about the same.

So if it's not a negative, then it's a positive to you? By your example, $8 is closer to the Viki plan with downloads than the one without so your example doesn't make much sense.

Has Netflix said their ads-plan is $8? Is it HD or still 480p?

 

[nutmac]

My predictions.

The ad-supported plan will be cost $7.99/month, matching Disney+ and Hulu's ad-supported plans. It will essentially mirror the Basic plan with 1 simultaneous stream.

Netflix will raise the Basic plan by $1 to $10.99/month but it will finally get HD (1080p). Standard will be increased by $0.50 to $15.99/month but it will get 4K UHD Dolby Atmos. Premium will stay at $19.99/month. Account sharing will cost $2.99/month per profile.

 

[matt_and_187_like_this]

Should we call it Adflix or Netflad?

 

[SW3029]

The fact that Netflix doesn't offer 4K as standard is its biggest flaw IMO.

 

[alexandr]

I bet you'll be able to download the ads...

 

[CalMin]

We're in a period of transition here - at least in the US. For a long-time, it was cable. Which sucked. Then for a time, there was Netflix as the only real option for streaming decent content, along with some ok stuff on Hulu (which has gotten MUCH better these days).

Then the content makers entered the game, and we got HBO, Disney, Paramount, Peacock. Apple joined the party too. And now we have a mess.

It's going to continue like this for a while. Then we will get mergers and consolidation and then it will be back to bundles and incentive pricing (followed by a bump up after 12-months. Just like cable..

sheesh...

 

[Realityck]

So if it's not a negative, then it's a positive to you? By your example, $8 is closer to the Viki plan with downloads than the one without so your example doesn't make much sense.

Has Netflix said their ads-plan is $8? Is it HD or still 480p?

Adbe's comment about you can't provide downloads with commercials makes perfect sense.

There are further limitations.

According to Netflix co-CEO Ted Sarandos, the “vast majority of what people watch on Netflix” would be available “today” on an ad-supported offering, but “not all of it.” That said, Netflix is in discussions with its providers to “clear some additional content.”

I would think this is a 720P single stream with ads subscription for $7.99 that you will see. The 1080P and 4K plans cost more.

 

[Powerguru]

Buh bye Netflix. You had a good run.

 

[CalMin]

The fact that Netflix doesn't offer 4K as standard is its biggest flaw IMO.

I have a 75" screen and lots of bandwidth but find that 4K streaming isn't worth it because of the compression - and Netflix really crushes the image. HBO and Disney's 4K looks reasonable and Apple's is quite good too, but none compare to a 4K blu-ray.

 

[JM]

Just getting worst day by day.

I’m so glad I canceled my account a long time ago. Don’t have the time to be playing games with Netflix and their non-strategic business model.

Hopefully, Netflix will continue to lose its subscribers in the coming days/months.

No way! Netflix has some decent stuff!

But… only if there’s password sharing does it actually seem worth the $19.99 entry fee for HD and four screens max.

I guess $8 to access the shows and movies is reasonable with ads. But it better be HD quality, and able to show on four screens at the same time.

And, we should all expect this $8 Ad supported tier to be $10 in a year, because of some asinine reason Netflix makes up like: “we have to hike prices again unfortunately because people just aren’t watching enough advertisements, and password sharing is still leading to not enough people watching ads. We really need to charge more money so people watch more ads, because we always make logical sense. We are very smart. Trust us.”

 

[bn-7bc]

Ahh, in with the old, out with the new. In another five years, streaming services will just be the Cable TV model, but with all your internet bandwidth being eaten up.

Well luckily some of us live in places where ISPs don't nickel and dime us to death, here in Norway there are no usage caps/metering on home internet connections , and in a few years the third nation wired MNO will ve done with their buildout so even mobile data ( a Segment where Norway is currently rather pricy will probably become a lot cheaper). I chose Norway as an example because I Live here and consequently know this market better than others.