Netflix NFLX -0.31%decrease; red down pointing triangle has stopped offering its cheapest plan that doesn’t play commercials.
The streaming company said Wednesday it no longer offers its $9.99-a-month basic plan for new customers in the U.S. and the U.K. Existing subscribers can stay on that plan as long as they don’t change or cancel it, Netflix said.
The company’s cheapest plan without ads is now $15.49 a month for new members.
Netflix has been trying to get more people to join its $6.99 a month plan that plays ads since launching it last year. Those customers deliver more revenue per member than its basic and standard plans because Netflix makes money from the ads as well as the monthly subscription fee.
In a statement Wednesday, Netflix said the ad-supported plans “provide great value to consumers given the breadth and quality of our catalog.”
Earlier this year, Netflix started cracking down on password sharing in earnest, booting off freeloaders. Those that wanted to keep sharing an account have to pay an additional $7.99 a month.
Netflix is expected to release its second-quarter earnings results Wednesday afternoon.
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