Breaking news

Netflix’s Ad Tier Surges to 94 Million Users: A Paradigm Shift in Streaming

Published on May 14, 2025, Netflix announced remarkable growth in its ad-supported tier, now boasting 94 million monthly active users. This marks a significant increase of over 20 million since November, showcasing the platform’s growing appeal.

Introduced in November 2022, the ad-supported plan offers a cost-effective option at $7.99 per month, compared to the $17.99 ad-free tier. Netflix’s strategy is to enhance profitability by integrating advertisements, a pathway increasingly adopted by streaming services.

According to Netflix’s president of advertising, Amy Reinhard, “Our audience’s attention begins high and concludes even higher. Impressively, engagement with mid-roll ads matches that of our content.” This indicates a shifting dynamic in viewer habits, echoing broader industry trends.

Interestingly, the ad-supported tier has captivated more 18- to 34-year-olds than any US broadcast or cable network, highlighting the platform’s demographic reach.

As Netflix aligns its strategy with evolving viewer preferences, its growth story brings to mind similarly transformative shifts in other sectors.

Bank Of England Holds Rates At 3.75% In Split Vote As Inflation Risks Rise

The Bank of England kept its benchmark interest rate at 3.75% on Thursday, but the decision was not unanimous. In a 6-3 vote, the Monetary Policy Committee kept rates unchanged, while three members backed a 25-basis-point increase to 4%. Renewed energy price pressures have added to concerns that inflation could remain elevated.

Inflation Pressures Remain

Policymakers said inflation “is likely to rise further over coming quarters,” citing higher and more volatile crude oil and refined energy prices since the conflict began.

So far, there has been “little evidence” of significant second-round effects, such as broader wage and price increases. Inflation risks, however, are now “tilted to the upside” and have increased since the July Monetary Policy Report.

Energy Prices Add To Inflation Risks

Brent crude has risen 36% since July, reaching $106 a barrel on Sept. 14, while UK wholesale gas prices increased 78% to 207 pence per therm.

Higher energy costs can feed into transport, production and household expenses, raising costs across supply chains. Refinery pressures have also pushed crack spreads, the difference between refined fuel and crude prices, well above pre-conflict levels.

Economy Shows Resilience

Despite the inflation risks, UK economic activity has held up slightly better than the Bank expected. A softer labor market and higher borrowing costs are expected to help reduce inflation over time.

Previous monetary tightening is still working through the economy, according to policymakers. So far, the latest energy shock has not produced clear evidence of a broader wage-price spiral.

Major Central Banks Take Different Paths

The decision comes during a busy period for global monetary policy. The Federal Reserve raised rates Wednesday to 3.75%-4% in its first increase since 2023, while the European Central Bank recently lifted its deposit rate to 2.5%.

The Bank of Japan is due to announce its decision Friday, with markets expecting a rate increase. Thursday’s split vote shows that pressure for tighter policy remains within the Bank of England’s Monetary Policy Committee.

eCredo
Uol
Aretilaw firm
The Future Forbes Realty Global Properties

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter