Microsoft to raise money for Netflix

The Netflix subscription with advertising is on its way. To make it possible, Netflix is ​​partnering with Microsoft.

It has been announced for some time, a cheaper Netflix subscription with advertising. At first it seemed just a rumor, but now it is clear that it is really going to happen. But how and when is still the question.

Microsoft

Netflix is ​​providing more clarity about the how today. With Microsoft. The company behind Windows is going to bring advertising to and raise money for the streaming service. Hopefully they don’t bring a blue screen too…

The primal streaming service announces that it has selected Microsoft as a technology and sales partner for the cheaper subscription with advertising that should boost subscriber numbers.

Runaway subscribers

Netflix lost about 200,000 subscribers in the first quarter due to the growing offer in streaming. Every euro can only be spent once and there are more providers. So you have to make choices. With the cheaper subscription with advertising, Netflix hopes to attract more subscribers again.

To make this technically possible, Netflix needs a partner who has knowledge of this and can make it possible. Microsoft CEO Mikhail Parakin says:

The partnership also shows that our focus on privacy is valued. It is built on protecting customer data.

Premium experience advertisers

Netflix Chief Operating Officer Greg Peters also has his say, stating that there is still a long way to go before the new subscription is in place, but he formulates the long-term goals as follows:

More choice for consumers and a premium, better than linear TV brand experience, for advertisers. We are excited to partner with Microsoft as we bring this new service to life.

This seems to us that Microsoft has the capabilities to sell advertisers targeted advertising space based on the interest of the viewer. It is of course better to target via a user-oriented streaming service than via regular linearly programmed television channels. That’s shooting with hail, this is precision advertising. You now have a lot of data from your users to tailor your advertising offer.

In other words, a lot of nice words to just make more money. We are curious what it will look like in the end.