Netflix ad tier reaches 40M monthly users

Netflix (NFLX) made a significant announcement during its Upfront presentation to advertisers on Wednesday: the company revealed that its ad-supported tier has reached 40 million active users, just a year after its launch.

Yahoo Finance's Alexandra Canal breaks down the details.

For more expert insight and the latest market action, click here to watch this full episode.

This post was written by Angel Smith

Video Transcript

It was a big day for Netflix announcing a deal with the NFL to be the home of Christmas Day games for the next few seasons.

But that's not the only news coming from the streaming giant Yahoo Finance's Alexander Canal is here with some takeaways from today's Netflix upfront presentation.

Ali Hey guys.

Yeah.

So a lot of emphasis on the ads here, the company revealing it's reached 40 million monthly active users otherwise known as and use.

The company had just 5 million users one year ago and 15 million users in November.

So significant jump there that a plan now accounts for over 40% of all Netflix sign ups in the markets where it's offered in and it seems like the act here is also commanding some pretty high engagement levels according to the streaming giant, over 70% of Netflix says a supported members watch more than 10 hours of programming a month that is 15 percentage points higher than the nearest competitor.

Now, this wasn't the only news that we got from the upfronts.

Netflix also announced a new in house a tech platform which will give advertisers alternative ways to buy ads and measure impact.

They're also continuing to leverage live events.

Energy drink company, Celsius is going to be the first presenting sponsor for the Jake Paul versus Mike Tyson event that's going to stream in.

There's also going to be other brand partners for this event that will be featured throughout the broadcast, some more product placements for Netflix in the years ahead.

Potentially with these live events.

Then of course, he had some of the fun announcements, new content.

There's a happy Gilmore to with Adam Sandler coming into the platform.

And then of course, we got that NFL news earlier today.

So lots coming for the streaming, lots coming up front week.

You're all.

Thanks so much.