Netflix Is About to Get Cheaper If You're Okay with Ads While You Watch — and Fewer Shows

When streaming first infiltrated our viewing habits, paid online services such as Netflix boasted a hefty advantage over free-to-air television: no pesky advertisements interrupting while you watch. That wasn't the only drawcard by any means, but it wasn't a minor one, either. Now, however, the platform is betting that some folks won't mind commercials here and there in exchange for a cheaper subscription.

This move has been in the works for a few months now, but Netflix's new 'basic with ads' package is about to become a reality in Australia — starting Friday, November 4. Sitting below its existing ad-free basic, standard and premium plans, the new subscription tier will cost $6.99 per month, and is being positioned as a budget-saving option.

Here's how it works: firstly, you'll need to opt into the new plan. If you're already a Netflix subscriber without advertisements, that won't change. If you choose to switch to the ad option, you'll be served around four-to-five minutes of ads per hour. Those commercials will run for either 15 or 30 seconds in length, and play before and during films and shows.

Also, there'll be fewer titles — and you won't be able to download them. Netflix advises that the smaller range will affect "a limited number of movies and TV shows" which "won't be available due to licensing restrictions", which the service is working on.

And, video quality will only go up to 720p/HD, which is the same as Netflix's ad-free basic plan.

Australia is part of a 12-country initial rollout, alongside Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico, Spain, the UK and the US.

A bonus for your bank balance? An annoying distraction? You choose. Again, you have to actively opt in for the ad-supported plan, so it won't just pop up unexpectedly while you're deep in a Stranger Things or DAHMER — Monster: The Jeffrey Dahmer Story marathon.

Netflix subscribers aren't new to the streaming service's tinkering, with the platform testing and rolling out plenty of new features over the years — including its 'play something' shuffle function for when you can't decide what to feast your eyeballs on next, and blocking password sharing.

A huge motivation for this move: the plethora of competing services also competing for viewers, because there's never a shortage of things to watch.

Netflix's 'basic with ads' package will be available for $6.99 per month from Friday, November 4.