Netflix Makes an Abrupt Decision That Will Shut Out Millions of Users

Netflix Makes an Abrupt Decision That Will Shut Out Millions of Users

Executives at the popular streaming platform have made a difficult decision that is causing much discontent.

Netflix has undergone several major changes over the past few years, especially regarding subscription plans and shared accounts. While these measures were initially intended to "patch" post-pandemic financials, it appears that the changes are not quite over.

As part of its strategy to retain users, Netflix launched its cheapest plan with advertising in 2022. Since then, it has started to gain quite a few subscribers. However, a lot has changed in two years, and Netflix has now decided to cancel this cheaper plan altogether. The reason probably won't surprise anyone. 

Despite the huge increase in subscribers after the introduction of ad-supported subscriptions, Netflix has decided to cancel this plan, primarily to increase revenue. With this move, the company is trying to push subscribers toward more expensive plans.

Several users reported on social media that they had received an email informing them that their basic plan with ads would disappear and that they must switch to a new plan. The end of this subscription is scheduled for July 13, but for now, only in Canada and the United Kingdom. Netflix announced the cancellation of this plan in January, so it is not surprising that it is happening now; however, the exact date was unknown at the time. The next country to see this change will be the United States, with the rest of the world likely to follow soon after.

Netflix has failed to increase its profits in recent months, which could be due, among other things, to the screenwriters' strike, which ended just a few months ago and significantly delayed the production of several movies and series across the film industry.

Because of this, the streaming giant had to postpone the release of much exclusive content. As a result, it had nothing to attract new subscribers, causing its growth to stagnate. We will have to wait for the platform to get over this bump to find out what it can offer us next. And with the constant growth of new streaming platforms, it has become easier to switch to another one.