Netflix has selected Microsoft as its global ad tech and sales partner for its lower-priced ad-supported subscription service, announced in April. All ads served on Netflix will be exclusively available through the Microsoft platform.
“Microsoft has the proven ability to support all our advertising needs as we together build a new ad-supported offering,” said Netflix Chief Operating Officer and Chief Product Officer, Greg Peters. “More importantly, Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members.
“It’s very early days and we have much to work through. But our long-term goal is clear: more choice for consumers and a premium, better-than-linear TV brand experience for advertisers. We’re excited to work with Microsoft as we bring this new service to life.”
Netflix has not yet revealed how much the ad-supported subscription tier will cost, or when it will launch. The move to an ad-supported service came after Netflix reported its first drop in subscriber numbers in more than a decade in April, causing its share price to slump. Its share price today - $175.56 – is just over half what it was before the announcement of the fall in subscribers in April.