Netflix and Microsoft are technology partners14. July 2022
Netflix and Microsoft are technology partners
San Francisco, 7/14/2022
Netflix has selected Microsoft as its technology partner to launch an ad-supported streaming service by the end of the year. Microsoft will oversee ad sales and provide the technology to place video ads on the streaming service.
Earlier reports said Netflix was exploring partnerships with Alphabet’s Google and Comcast’s NBCUniversal. Unlike those companies, which operate YouTube and Peacock, respectively, Microsoft does not have a competing streaming platform to Netflix.
Microsoft has emphasized its privacy approach to protecting customer data. Last year, the tech giant reported more than $10 billion in advertising revenue. It also bought AT&T Inc.’s ad business, Xandr, which automates ad sales and delivery.
Netflix confirmed in June that it plans to launch a cheaper, ad-based subscription service to boost revenue and increase its 221.6 million subscribers. In the first quarter of 2022, Netflix lost subscribers for the first time in more than 10 years.
The company has warned that it could lose another 2 million subscribers in the second quarter.