OTT

Netflix partners with Microsoft in step towards introducing ad-supported subscription


Disney Advertising partners with The Trade Desk

MICROSOFT HAS BEEN chosen to be Netflix’s global advertising technology and sales partner, the two companies announced yesterday.

This is a step towards the streamer being able to offer an advertising-supported subscription option, which Netflix co-CEO Reed Hastings indicated in April was a possibility. “Think of us as quite open to offering even lower prices with advertising as a consumer choice,” he said at the time.

“We’re thrilled to be named Netflix’s technology and sales partner to help power their first ad-supported subscription offering,” said Mikhail Parakhin, president web experiences at Microsoft in a blog post on the company’s website.

“At launch, consumers will have more options to access Netflix’s award-winning content. Marketers looking to Microsoft for their advertising needs will have access to the Netflix audience and premium connected TV inventory.”

There is still a lot for Netflix to work though, but its long term goal is “More choice for consumers and a premium, better-then-linear TV brand experience for advertisers,” said the streamer’s chief operating officer and chief product officer Greg Peters, in a post about the partnership on the company’s website.

In other ad-related news, Disney Advertising announced on Tuesday it has come to an agreement with global advertising technology company The Trade Desk, which will enable “integration between Disney’s proprietary Audience Graph and the open-source identity framework, Unified ID 2.0, within a secure environment,” a press release explains. “As a result, buyers will be able to discover more addressable, biddable inventory across the Disney portfolio, all validated by Disney’s proprietary Audience Graph.”

“We have spent years investing in our data and technology strategy to create innovative solutions for advertisers to engage their audiences with greater precision and accuracy in a privacy-focused way,” said Rita Ferro, president, advertising sales, Disney Media and Entertainment Distribution, in the release.

“This first-to-market capability sets the stage to empower access to the Disney portfolio, validated by powerful audience insights, in a way that’s automated and accessible.”

Like Netflix, Disney is also planning to introduce ad-supported subscription option for its streamer Disney+. Announced in March, the subscription option will be available in the U.S. by the end of the year and in other countries including Canada in 2023.