Current:Home > reviewsNetflix is ending basic $11.99 plan with no ads: Here's which subscription plans remain -NextFrontier Finance
Netflix is ending basic $11.99 plan with no ads: Here's which subscription plans remain
SafeX Pro Exchange View
Date:2025-04-10 22:13:37
Netflix is phasing out its lowest-priced ad-free subscription plan in the U.S., which could drive more viewers to its cheaper ad-supported plan.
The Los Gatos, California-headquartered streaming giant said Thursday in a letter to shareholders that it would be phasing out the basic ad-free plan – which had cost $11.99 monthly – in the U.S. and France. The company had previously dropped the basic plan in the U.K. and Canada.
The basic plan is not displayed as an option for U.S. subscribers on its Plan and Pricing page for U.S. customers. The company quit offering the basic plan for new subscribers in July 2023, but allowed basic plan customers to remain on the subscription so long as they didn't cancel or change plans.
Other Netflix plans include a $6.99 monthly option with ads, a $15.49 monthly standard HD video quality plan (no ads) and a $22.99 premium Ultra HD plan (no ads).
Netflix, which began offering a "standard with ads" tier in November 2022, said the plan's "attractiveness" led to a 34% increase in ad-supported subscriptions from the prior quarter. The company reported a record 277.65 million subscribers across all tiers in the second quarter, up 16.5% year-over-year.
Netflix subscribers in the U.S. and in France who are currently on the Basic plan will have to choose a new plan, the company said in a statement to USA TODAY. Those members impacted will get an email starting today, the company said.
Even without the basic, ad-free offering, Netflix represents "a very strong offering for our members," when you consider the $6.99 monthly ad-supported option, said co-CEO Greg Peters, during a videoconference about the company's second quarter performance Thursday.
"Essentially, we're providing them a better experience: two streams versus one. We've got higher definition. We got downloads. And, of course, all at a lower price," he said. "And for members who don't want that ads experience, they, of course, can choose our ad-free Standard or Premium plans."
The company reported its third consecutive quarter of double-digit revenue growth, with $9.56 billion in revenue in the second quarter of 2024, up 16.8% over the same quarter in 2023.
Netflix added more than 8 million subscribers in the second quarter, benefiting from the return of series such as "Bridgerton," and "Baby Reindeer" and the live event "The Roast of Tom Brady," as well as a password-sharing crackdown.
What Netflix plans are there?
- Standard with ads ($6.99 monthly): Watch in Full HD on 2 supported devices at a time and download on 2 supported devices at a time
- Standard plan ($15.49 monthly): Watch in Full HD and download videos on 2 supported devices at a time (option to add 1 extra member who doesn't live with you for $7.99 monthly).
- Premium plan ($22.99 monthly): Watch in Ultra HD (4K) quality on 4 supported devices at a time and download on 6 supported devices simultaneously; Option to add up to 2 extra members who don't live with you for $7.99 monthly).
Netflix adds 8 million new subscribers
Total number of subscribers grew to more than 277.6 million, an increase of 16.5%, the company said. Netflix forecast lower subscriber additions in the current quarter (July-Sept.) than in the same period last year, when the streaming company added more than 8.7 million.
Back in April, the company announced it planned to stop reporting membership numbers in 2025.
In after-hours trading, Netflix shares initially dipped 2%.
Netflix will begin the launch of monthly video game releases including one based on "Emily in Paris," later this month. Coming later this year, a multiplayer game based on "Squid Game."
Follow Mike Snider on X and Threads: @mikesnider & mikegsnider.
What's everyone talking about? Sign up for our trending newsletter to get the latest news of the day
veryGood! (395)
Related
- IRS recovers $4.7 billion in back taxes and braces for cuts with Trump and GOP in power
- Travis Scott Will Not Face Criminal Charges Over Astroworld Tragedy
- Vivek Ramaswamy reaches donor threshold for first Republican presidential primary debate
- Restock Alert: Get Hailey Bieber’s Rhode Glazing Milk Before It Sells Out, Again
- Justice Department, Louisville reach deal after probe prompted by Breonna Taylor killing
- Cash App creator Bob Lee, 43, is killed in San Francisco
- How one small change in Japan could sway U.S. markets
- Black man who says he was elected mayor of Alabama town alleges that White leaders are keeping him from position
- Meta donates $1 million to Trump’s inauguration fund
- Why sanctions don't work — but could if done right
Ranking
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Triathlon
- When AI works in HR
- Why K-pop's future is in crisis, according to its chief guardian
- Biden Tightens Auto Emissions Standards, Reversing Trump, and Aims for a Quantum Leap on Electric Vehicles by 2030
- Skins Game to make return to Thanksgiving week with a modern look
- Women are earning more money. But they're still picking up a heavier load at home
- Madonna Released From Hospital After Battle With Bacterial Infection
- As States Move to Electrify Their Fleets, Activists Demand Greater Environmental Justice Focus
Recommendation
'Malcolm in the Middle’ to return with new episodes featuring Frankie Muniz
Will There Be a Barbie Movie Sequel? Margot Robbie Says...
When AI works in HR
Pink's Reaction to a Fan Giving Her a Large Wheel of Cheese Is the Grate-est
Pressure on a veteran and senator shows what’s next for those who oppose Trump
UN Report Says Humanity Has Altered 70 Percent of the Earth’s Land, Putting the Planet on a ‘Crisis Footing’
When AI works in HR
Illinois Now Boasts the ‘Most Equitable’ Climate Law in America. So What Will That Mean?