Netflix’s ad-supported subscription tier has seen a massive surge in adoption, reaching 250 million monthly active users, according to figures released during the company’s recent Upfront presentation. This represents a significant acceleration in growth compared to previous years, where the plan recorded 70 million users in 2024 and 94 million in 2025.
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The “Basic with Ads” tier, first introduced in 2022, has become an increasingly attractive entry point as the service continues to implement price hikes. Earlier this year, Netflix increased all monthly subscription costs by $1, pushing more viewers toward the subsidized model. To capitalize on this momentum, the company plans to launch the ad-supported plan in 15 additional countries next year, including markets across Europe, Southeast Asia, and South America:
- Europe: Austria, Belgium, Denmark, Ireland, Netherlands, Norway, Poland, Sweden, Switzerland
- Asia-Pacific: Indonesia, New Zealand, Philippines, Thailand.
- South America: Colombia, Peru.
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In line with 2026 industry trends, Netflix is deepening its investment in artificial intelligence to optimize ad delivery. The company is currently testing systems that utilize “personalized ad loads and frequency caps,” which dynamically adjust the number and type of commercials a member sees based on their specific viewing behaviours.
However, this data-driven strategy comes as the streaming giant faces legal headwinds. Netflix is currently defending a lawsuit from the state of Texas, which alleges the company illegally sells user data to third-party ad-tech firms. Netflix has dismissed the claims, stating the suit is based on “inaccurate and distorted information.”
