The next big Apple TV Plus feature? Ads.

3 months ago 65

Nick Fernandez / Android Authority

TL;DR

Apple has reportedly met with a UK ratings agency to discuss baking ads on its TV Plus streaming service.
The iPhone maker may introduce a cheaper, ad-supported plan to compete against Netflix and Disney Plus, which already offer similar tiers.
Apple TV Plus has seen two price hikes since its initial debut, so offering a more affordable plan may entice budget-conscious users.

Apple TV Plus launched in 2019 for $5 per month, offering subscribers access to original movies and TV shows for a relatively low price. Since then, the company has increased the service’s price twice, with the monthly subscription costing $10 today. To attract and retain budget-conscious users, Apple TV Plus may soon introduce a cheaper plan with ads.

According to the Telegraph, Apple executives recently met with the UK ratings agency Barb to discuss bringing ads to TV Plus. Barb already tracks how much time users spend viewing series and movies on the platform. Introducing ads, however, would require integrating more advanced data collection techniques into Apple TV Plus.

Earlier this month, a different report highlighted Apple TV Plus’ slow growth compared to rivals like Netflix. By introducing a cheaper, ad-supported tier, Apple may attract users who can’t justify paying $10 monthly for the service. After all, Netflix, Disney Plus, and Amazon Prime Video have all adopted this strategy, prompting users to watch ads or pay a premium.

While Netflix is far more popular and offers a broader catalog, Apple TV Plus has fewer sharing restrictions. For those unfamiliar, up to six iCloud Family members can individually use a single TV Plus subscription — even when residing in different households.

Splitting $10 among six people already makes the monthly fee justifiable for many users. By further lowering the price through ads, TV Plus could become one of the cheapest streaming services in the US when shared with other users.