Netflix Cancels Ad-Free Basic Plan in Canada and UK, Forcing Users to Choose Between Ads or Higher Prices

Streaming video website Netflix is reportedly adjusting its cheapest ad-free subscription plan, with some users in Canada and the UK receiving notifications to choose a new subscription plan to continue watching videos.

This move has already been implemented in the US since June, where Netflix canceled its ad-free Basic plan, leaving only the ad-supported Basic plan and two higher-tier plans.

For users, this move is equivalent to a price hike, as the ad-supported plan has many limitations, such as ads during video playback, limited access to non-Netflix original content, and restricted offline downloads.

If users don't want to watch ads and want to access non-Netflix original content, they will need to opt for the Netflix Standard plan, which costs $15.49 per month, significantly higher than the ad-free Basic plan's $11.99 per month.

The ad-supported Basic plan currently costs $6.99 per month, and Netflix's previous financial reports showed that many users (over 40 million) have subscribed to this plan. By offering a cheaper ad-supported plan, Netflix can generate more revenue through advertising.

Based on Netflix's strategy, it appears that the company is primarily canceling ad-free Basic plans in developed countries, where subscription prices are already higher. This move will make it more difficult for users to access Netflix content.

It is unclear whether Netflix will cancel ad-free Basic plans in more markets in the future, but there is a high probability that more European countries will be affected next.