Streaming platform Netflix is set to add advertisements onto their streaming platform, following news that they lost 200,000 customers in the first quarter of 2022, according to the Sydney Morning Herald.
Netflix also projected that it will lose another 2 million customers in the current quarter of the year.
The company is also planning on enforcing against the sharing of account passwords, which many have been doing to stream on the platform for free.
According to ABC News, by Netflix’s estimation, about 100 million homes globally have been streaming their platform for free.
Reed Hastings, the co-founder and CEO of Netflix, said that the company needs to get the abovementioned group of customers to pay.
Speaking during a call with his investors, he revealed that he was actually against the introduction of advertising on the platform before, according to USA Today.
However, to make sure then their customers are consuming and paying for their service, an ad-supported option will be introduced on the platform for those who are able to tolerate the ads and want to pay for the streaming at a cheaper price.
However, the plan is still in preparation and could probably take effect in a year, maybe two.