Things Are Going Great at Netflix, So It’s Scrapping the Basic Plan

Things Are Going Great at Netflix, So It’s Scrapping the Basic Plan

Looks like that password-sharing crackdown worked: Netflix has reported adding nearly nine million new customers this quarter, bringing its total number of subscribers to 247.2 million as of September 30. However, some changes are coming for subscribers.

As the Hollywood Reporter explains, plans in the U.S. are going up in price. In Australia, however, subscription prices are not set to increase… Instead, locally, the basic plan has now been scrapped entirely (with the ad-supported plan remaining). The ad-supported plan is now called Standard with Adverts.

Today’s letter to shareholders praised both Netflix’s original titles and its licensed content, calling out shows that did big numbers in Q3 like One Piece, The Witcher, Love at First Sight, and Suits. It noted that the ad plan has continued to rise in popularity, and that “our $US6.99 per month ads plan in the U.S. continues to support our ads plan growth.” The streamer also touted this plan in particular as “much less than the average price of a single movie ticket.”

The letter also addressed the recently settled WGA strike, as well as the ongoing SAG-AFTRA strike: “The last six months have been challenging for our industry given the combined writers and actors strikes in the U.S. While we have reached an agreement with the WGA, negotiations with SAG-AFTRA are ongoing. We’re committed to resolving the remaining issues as quickly as possible so everyone can return to work making movies and TV shows that audiences will love.” This is noteworthy since rumours earlier this month suggested that the streamer would not increase prices until after the SAG strike was resolved.

This article has been updated since it was originally published.

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