Netflix may copy Disney+’s decision not to run ads during kids’ programming – TechCrunch

Netflix’s ad-supported tier cannot run ads during children’s programming, a move rival Disney+ made in May. As reported by Bloomberg, Netflix has told its partners that children’s programming will remain ad-free.

Sources also told the outlet that the original films will initially remain ad-free, which should appease filmmakers who don’t want their big-budget releases marred by advertising. If this is true, subscribers would also be happy with it.

However, original series such as “Stranger Things”, “Bridgerton” and “Squid Game” should always include ads.

Netflix declined to comment on TechCrunch.

If the streamer were to keep their children’s programming ad-free, it could help offset their recent loss of subscribers. Some parents may have walked away from the service due to the high price, so the next cheaper ad-supported tier could help them save money while giving their kids an ad-free streaming experience.

Advertising and children’s programs do not mix. Google and YouTube figured this out after paying $170 million for violating children’s privacy laws. Targeting ads to individual children is considered exploitative by some, and Netflix probably doesn’t want that reputation, nor do its advertisers. Organizations like the American Psychological Association have called for tougher restrictions on advertising to children.

We don’t know much about Netflix’s next ad-supported plan at the moment – only that it will come to the service in 2023.

In partnership with Microsoft, the technology and advertising sales are all handled by the third party, so some decisions may be beyond Netflix’s control. For example, it was speculated that the ad-free plan would block offline downloads, a common decision for streaming services.

We also know that not all of its shows can be offered on the ad-supported version. Netflix has confirmed that it is negotiating deals to bring certain shows into its ad-supported tier.

Analysts predict that Netflix will be one of the biggest players in online video advertising, generating around $4 billion a year in ad sales.

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