Netflix's new lower-cost ad subscription will use Microsoft's adtech

Netflix is teaming up with Microsoft as its global advertising partner, will use the tech giant's billion-dollar adtech platform.

Published Jul 13, 2022 3:26 PM CDT   |   Updated Fri, Aug 5 2022 1:42 AM CDT

Netflix is moving forward with its plan for a lower-cost, ad-supported subscription tier and has teamed up with Microsoft to make it happen.

Netflix's new lower-cost ad subscription will use Microsoft's adtech 33 |

Today Netflix announced that it has partnered with Microsoft as its global advertising partner for its new advertisement subscription model. Completely new to the world of advertisements, Netflix has chosen to team up with Microsoft due to the company's massive reach and its ever-growing ad platform (Microsoft purchased adtech specialists Xandr from AT&T in 2021).

Microsoft makes billions every year from its lucrative and powerful adtech platform, which Netflix will use to beam ads to its 221 million subscribers across the world. Netflix has not divulged further details of pricing, availability, or launch dates of its new ad subscription tier.

In April we announced that we will introduce a new lower priced ad-supported subscription plan for consumers, in addition to our existing ads-free basic, standard and premium plans. Today we are pleased to announce that we have selected Microsoft as our global advertising technology and sales partner.

Microsoft has the proven ability to support all our advertising needs as we work together to build a new ad-supported offering. 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.

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Derek joined the TweakTown team in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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