Netflix has partnered with Microsoft to create a budget version of the streaming service with the ad-supported subscription plan.
Netflix has asked Microsoft to provide the ads in the new subscription level that will contain advertising, and under this new deal, Microsoft becomes Netflix’s “global advertising technology and sales partner“.
According to Netflix, Microsoft demonstrated its ability to support Netflix’s advertising needs. In addition, the company has “the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections” for its members.
Microsoft will be Netflix’s only partner in the development of its new advertising scheme, so all ads will go exclusively through the Redmond platform, as explained on its website.
It is clear that Netflix wants to make sure that there is not even the slightest confusion around its subscription with ads. Taking advantage of the announcement of their association with Microsoft, Netflix has made it clear again that ad-supported subscription will be completely new, and it does not come to replace or modify any currently available plans.
Netflix itself announced that they expect the new subscription to be available by the end of this year.