Netflix And Microsoft Team Up For An Ad-Supported Streaming Tier

Now, streaming services and subscription systems have become de facto business models in many industries. This is true not only for ordinary causes such as video and music, but also for games and even software. A subscription package may be a general strategy to provide content, but it is not something that everyone agrees, let alone able to pay. Monthly fees may seem small in isolation, but they increase over time. When it comes to music streaming, some services have a free level that comes with several compromise with access to access. After years, it seems that Netflix finally gave up on the trend, and had chosen a surprising partner for advertising-supported subscription plans.

Actually it’s no secret now that Netflix is ​​looking for to offer a much cheaper subscription plan, and maybe really saying it’s free. The streaming video giant revealed his plan in April, but the details were almost non -existent at that time. What is certain at this point is that the level will include the viewers features like hating: advertising.

Advertising that interferes with experience is not new, and most of the time used by free services to make a profit without requiring users to pay. On the other hand, many of these services also offer ways to get rid of advertisements, often by paying repeated fees. However, at this point, Netflix has not confirmed that the level supported by advertising will be free, only it will be cheaper than the basic subscription of $ 10 per regular month. Which said, if this level is not free at all, it is likely to fail to attract new customers.

Microsoft is a key player in the Netflix advertising plan

Today’s announcement is rather strange and slightly surprising because some may be expected by Microsoft will have a role in the new Netflix business strategy. Microsoft is famous for its desktop software and its cloud Azure service, and the last one sounds like Netflix. However, the streaming company has used AWS for all its cloud needs, and its partnership with Microsoft focuses on the part of the software giant that is even slightly known by a few people.

Microsoft will be the official and exclusive advertising platform of Netflix, which basically means that it will give power to the level supported by future advertisements. Every and all advertisements that you will see on Netflix will only come from the Microsoft platform, providing new marketers and advertisers to be utilized. Given the prevalence of the Netflix brand, it is clearly not a small problem, and it can effectively improve the profile of the Microsoft ad platform.

The implications of the advertising system managed by Microsoft are still unknown at this time. Microsoft is proud of his approach to privacy, although it does not have a clean track record. More importantly, this raises the question of whether this partnership will conflict with Google and Apple, considering the two have their own rules when they come to advertising. Even Netflix admitted that it was still in the early stages, so we hope to hear more details in the coming months.

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