Netflix wants to put limits on Microsoft and works on its own advertising technology

Netflix reached an agreement with Microsoft to use your advertising platform in a new plan with adswhich premiered a few weeks ago in Spain and other countries, after the end of the shared accounts. But new rumors claim that Netflix wants to end this allianceand buy either build your own advertising platform.

When he announced this new ad-supported plan last year, experts bet on Google or Comcast as his technology partner to enter the advertisements within the content, and manage them dynamically.

But surprisingly Netflix chose Microsoft and his Xandr advertising platform. This fueled rumors that Microsoft was planning to buy Netflix.

The news coming from the United States is that the plan with advertising of Netflix It’s not working as well as expected. Perhaps because the price difference with the ad-free plan is very small.

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Netflix’s agreement with Microsoft, in the air

Apparently some advertisers withdrew because their ads were not getting enough impressions, that is, they were not seen enough. This may be due to the low number of users in the plan with ads, or because the xandr platform I didn’t handle them correctly.

The point is that the medium digiday has been speaking with sources involved in the matter, and they assure that Netflix is being considered break up with microsoft and create your own advertising platformeither buy a.

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It has not been leaked to the media what percentage of the advertising revenue Microsoft takes, nor how much this alliance costs, or when it ends. Digiday ensures that the agreement ends at the end of 2024. So Netflix He has just over a year to make a decision.

Angry man yelling at mobile

Digiday comments that in recent weeks Netflix has hired several experts in online advertisingincluding Jon Whitticoma former product manager for Comcast’s ad technology unit FreeWheel, as advertising platform consultant.

These hires only make sense if Netflix intends to create or buy your own advertising platform.

Rumors speak of its own platform, but it is not something that is built in a day. For this reason, given that the agreement with Microsoft must be renewed in little more than a year, the most logical thing is that Netflix bought a platform advertising online already activeand adapt it to your purposes.

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Be it one thing or another, these rumors of end of Netflix agreement with Microsoft as a technology partner of your plan with advertisingshows that the commitment to advertisements is strong. If Netflix wants build or buy an advertising platformit is because he believes in this new form of business, which is not convincing users at the moment.

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