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Netflix Explores a Version With Ads as Subscriber Base Shrinks
Netflix Inc. said it is exploring offering a lower priced ad-supported version of the platform to boost its subscriber base, after the streaming giant posted its first quarterly subscriber loss in more than a decade.
The move is a significant change for a company that has sold itself since its inception as a commercial-free haven for its members.
Netflix is grappling with slowing revenue growth caused by stiffer competition from rival services and rampant account sharing among its customers.
In a Tuesday analyst interview to discuss the company’s first quarter-results, Netflix chairman and co-chief executive Reed Hastings said an ad-supported version of Netflix makes a lot of sense.
“Those who have followed Netflix know that I’ve been against the complexity of advertising and a big fan of the simplicity of subscription,” he said. “But as much as I’m a fan of that,…
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