Due to licencing restrictions that Netflix says it is working on, a small selection of television shows and movies will be unavailable to Basic with Ads subscribers. Each Netflix advertisement will last between 15 and 30 seconds and will appear before and during programmes. Furthermore, Basic with Ads subscribers will be unable to download content to their devices, and video quality will be limited to 720p / HD.
During a press conference announcing the new tier, Netflix described it as “pro-consumer” and explained how its internal content tagging teams were tasked with finding natural breakpoints in various shows and films to place commercials in. Netflix also emphasised how Basic with Ads has evolved over the past six months in preparation for its November debut but added that “what we do at launch will not be representative of the long-term opportunity of what the product will be.” At launch, Netflix’s ad space will be sold at a fixed price rather than auctioned off, and the company claims that “hundreds of advertisers worldwide” have already purchased the majority of its initial inventory.
