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Netflix’s new ad-supported version might be worth saving.

Key Point

• Netflix recently announced it would be offering a cheaper, ad-supported version of its streaming service.
• At $6.99 per month, it’s a good option for those who don’t mind seeing a few ads.
• On the downside, the ad-supported plans have a limited selection of TV shows and movies, limited resolution to 720p, and the inability to download content to watch later.

Netflix was the undisputed king of streaming for years until it was recently overtaken by Disney+ (bundled with Hulu and ESPN). Netflix lost nearly 1 million subscribers in the first half of this year. This is his first big loss in over a decade. To attract even more subscribers, Netflix recently announced new ad-supported plans that allow users to watch shows and movies at cheaper prices. But is this new plan worth it?

How new ad-supported plans work

Netflix’s low-cost ad-supported plan “Basic with Ads” will start service in November. It’s only $6.99/month for his 12 countries: Australia, Brazil, Canada, France, Germany, Italy, Japan, South Korea, Mexico, Spain, UK and US. Netflix plans to add more countries in the future. Netflix’s current plans will be unaffected and will complement its existing ad-free Basic, Standard, and Premium plans.

The big difference is that “Basic with Ads” limits video quality to 720p resolution. You see an average of 4-5 minutes of ads per hour. Ads are 15-30 seconds long and play before or after a show or movie. Licensing restrictions will make a limited number of movies and TV shows unavailable (Netflix says it’s working on it). Another big change is that you can’t even download titles to watch them later.

Here are the prices for all Netflix plans:

• Basic with ads: $6.99 per month
• Basic: $9.99 per month
• standard: $15.49 per month
• premium: $19.99 per month

Is Basic with Ads right for you?

Ad-supported Netflix may not be ideal, but it might be worth it if you want to save money. This is significantly cheaper than a traditional Netflix subscription, so it might be a good option for those who don’t mind watching commercials. Premium is nearly three times more expensive and offers content in 4K. If you’re watching Netflix on a tablet, phone, or TV that doesn’t support 4K, you’ll barely notice the difference. The same goes for the Standard plan, which offers 1080p content for about double the price. However, if you have a 4K TV, you will notice a difference in resolution compared to 720p.

Of course, this new option has its drawbacks. The selection of movies and TV shows available with ad-supported plans may be more limited than those available with standard Netflix plans. If you travel a lot or have an unstable internet and rely on downloading Netflix, this may not be suitable.

Another downside is that the “Basic with Ads” plan only allows you to stream to one device at a time. Premium allows you to stream 4 streams simultaneously. Standard allows two streams and both Basic plans have only one stream. This may be a breach of contract if the account is used by more than one person.

However, if you’re willing to trade those shortcomings for a lower price, Netflix with ads could be a good option. Yes, and if you don’t need resolution higher than 720p and don’t mind ads, it’s a pretty good deal. Subscriptions are $2 less than the ad-supported version of HBO Max and $1 cheaper than Hulu. It’s $2 more than Apple TV+ and just $1 more than Peacock Premium.

So is ad-supported Netflix worth it? It depends on your priorities. If saving money is your number one priority, it could work for you. But if you value choice, convenience, and resolution over price, we recommend sticking with the higher tier Netflix subscription.