Netflix Exploring Ad-Supported Tier at Lower Cost, Co-CEO Reed Hastings Says

Netflix co-ceo Reed Hastings said on Tuesday’s earnings call that the streamer is exploring introducing an ad-supported tier at a lower cost, and that such a model could be phased in “over the next year or two.”Hastings even acknowledged the success of an ad-supported model at Hulu, how such a model will be introduced on HBO Max and that “we don’t have a lot of doubt that it works” for those streamers.“Those who have followed Netflix know I’ve been against the complexity of advertising and in favor of the simplicity of a subscription. But as much as I’m a fan of that, I’m a bigger fan of consumer choice,” Hastings said on Tuesday’s call. “And allowing consumers who would like to have a lower choice and are advertising tolerant get what they want makes a lot of sense. That’s something we...