Netflix is Testing Out a Cheaper Plan
Netflix confirmed yesterday that it would launch a mobile-only plan in India during their third quarter.
According to The Verge, Netflix subscribers in the US have declined recently – partly due to the fact that they continue to raise prices – so this plan will be a way to expand their business. Netflix explains that the plan “will be an effective way to introduce a larger number of people in India to Netflix and to further expand our business in a market where Pay TV ARPU (average revenue per issue) is low (below $5).”
With this plan, users can only stream content on a mobile device. The Verge also mentions that Netflix’s current basic plan limits video stream quality to standard definition, which is 480p. They assume that the mobile tier would have the same restrictions. There is no word yet on if this mobile plan will work on tablets.
When asked when and if this plan will be available outside of India, Netflix stated that they will “continue to learn more after [the] launch of this plan.”
