Streaming has generally been considered a way to conveniently watch shows and movies on-demand without the worry for ads. Netflix has long been an ad-free, premium streaming service, but no longer it seems.

The profitability of services such as Netflix has been called into question, especially after the company posted a significant loss of subscribers, which heavily damaged their stock value earlier this year.

This has led them changing their tune about their stance on ads, which they announced shortly after this event. It would be a tier level where those paying for it would get advertisement while streaming whatever they wanted to watch on Netflix.

At the time of this announcement, it was stated to be coming a week after Disney+ would also be adding their own tier which includes ads. However, it’s now being reported that this new subscription tier will be launching on November 1st this year, to get ahead of their competitor.

Currently Netflix is working with Microsoft in regards to getting this advertisement tier working. This not only means in terms of having them show up for people, but also the rates per impressions, which is highly important considering they’re adding this in hopes of making up losses in subscribers.

Reportedly, they’re seeking $65 CPM, which would mean they want $65 for everyone 1000 impressions. This is viewed as unlikely to occur, as this is a significant premium over the industry standard of $20 CPM. But this is reportedly Netflix’s only negotiation strategy to start as high as possible and work down so they can get the most possible.

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