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Netflix to offer basic plan with ads for $6.99 a month in November

Photo courtesy of Netflix

Netflix has announced plans to release a new subscription plan in November, giving users with the Basic Plan an option to save a few dollars each month.

Starting in November, Netflix will launch its “Basic with Ads” streaming plan for $6.99 a month in 12 countries. The new plan will be available in Australia, Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico, Spain, the UK, and the U.S.

The added streaming option comes after several months of a decline in Netflix subscribers, which some have attributed to the rise in subscription prices and penalties for password sharing.

RELATED: Netflix penalizes password sharing in new testing feature

Rates have been raised slowly since 2014, with the basic price now at $9.99, standard at $15.49, and premium at $19.99. In 2014, rates were $7.99 for the basic plan, $8.99 for standard, and $11.99 for premium.

Now, subscribers will be able to choose the lowest price to stream on the service starting on November 3 at 11:00 a.m. CT.

Here’s what will be different in Netflix’s new Basic with Ads plan:

  • Video quality up to 720p/HD
  • At launch, ads will be 15 or 30 seconds in length, which will play before and during shows and films.
  • Average of 4 to 5 minutes of ads per hour
  • A limited number of movies and TV shows won’t be available due to licensing restrictions
  • No ability to download titles.

Current account holders will not be affected by the added option and ads will not be shown in the other three plans.

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