Netflix held its fourth annual Upfront this week, and while most of the announcements were aimed at advertisers, there is plenty in there that affects regular viewers, too. If you are on Netflix’s cheaper ad-supported plan, here is what is coming your way.
So how big is Netflix’s ad tier?
Netflix said its ad-supported plan now reaches more than 250 million global monthly active viewers, and over 80% of those viewers are watching actively every week. That’s a sharp rise from the 94 million users the company reported last year. It seems that not only is the ad-supported year flourishing, but it’s also adding new members at a higher rate than its other plans.
“If the last couple of years were about proving we’re a durable player, this year is about establishing ourselves as a formidable one,” said Amy Reinhard, Netflix’s president of advertising.
This is as clear as it gets that Netflix is serious about expanding its ad-supported tier. In fact, the streaming giant has already announced that the ad-supported tier is coming to 15 new countries starting in 2027, including Ireland, the Netherlands, Sweden, and Thailand.
Are we going to see more ads?
In short, yes. The company is high on its ad-tier success and not only introducing ads in new sections but also adding AI tools to feature more targeted ads based on your viewing history and patterns.
The company is also testing personalized ad loads and frequency caps, meaning Netflix will adjust how many ads you see based on your own viewing habits. On top of that, ads are coming to new places, including podcasts and vertical video on mobile, rolling out globally in 2027.
While these are all good news for advertisers, it’s the subscribers who will suffer. I don’t know how seeing ads when already paying for a service became a norm, but I find it hard to digest.
I would rather see restrictions on content I can watch when paying for a lower tier than see ads everywhere in the UI. Personalized ads are not only annoying, but they also mean companies are selling your private watch history and data to advertisers to deliver ads, something which I never want to see.