Netflix plans to launch a new and cheaper subscription version in Australia, including ads. The platform noted that it will ban cryptocurrency and gambling platforms from advertising.
The new model is expected to launch before the end of the year. This indicates the desire to increase the company’s revenue due to slowing growth. A Netflix spokesperson told The Sydney Morning Herald that the company is still deciding how to launch.
“We are still in the early days of deciding how to launch a lower-priced, ad-supported option and no decision has been made yet.”
Cryptocurrency ads combined with political and gambling ads
According to local sources, only domestic customers will be able to buy ad placements when the scheme launches in Australia, possibly on November 11. In addition, the unit has abandoned marketing any products to young people and refused to advertise cryptocurrencies, political ads and gambling. The sources also said that restrictions on pharmaceutical advertising are also being considered.
The Wall Street Journal reported last week that Netflix is considering charging advertisers a fee per thousand viewers (CPM) of about $65 per 1,000 viewers. And in Australia, there are about 28 paid or ad-supported streaming services competing for viewers with Netflix.
Notably, non-skippable ads will air before the start of each show and may also run during that time. However, these ads will not be shown to premier subscribers.
Australia tightens crypto sector
The Australian Prudential Regulation Authority (APRA) has published its initial cryptocurrency policy roadmap and risk management strategy this year, which will be in place through 2025. Subsequently, The Australian Securities and Investment Commission (ASIC) thwarted the piloting of the CBA’s banking application to include crypto assets.
Last month, with the announcement of ‘token mapping’ for better market oversight, the Australian government also began making new efforts to regulate the cryptocurrency industry. According to the Australian Financial Review, the Australian Federal Police (AFP) has also set up a special team to combat cryptocurrency-related crimes surrounding money laundering and other illegal activities.
ASIC president Joe Longo has also previously said:
“With so many new investors operating in the financial markets, the study builds on our understanding of retail investors and these are regulatory efforts to secure investor rights.”