Netflix's cheapest no-ad plan is at its end, Variety reported.

The streaming platform's 2023 fourth quarter results said it had an additional 13.1 million net subscribers. It also said that its ad-supported plan accounted for 40% of all its sign-ups where it's available. Furthermore, the subscribers on this ad-tier plan increased almost 70% each quarter. Netflix doesn't typically give out the exact number of its subscribers, however it reported that it has now more than 23 million monthly active users on these advertising tiers.

Bye bye, Basic?

The plan now is to retire the basic no-ads plans in the countries where it exists. The company plans to do this in order to encourage customers to switch to the plans with advertising.

Netflix co-CEO Greg Peters said during the fourth quarter earnings review that these ad-tiers are meant to provide a better overall value than the basic tier.

As for what make these better, Peters said the subscribers “get a better plan than Basic, more streams, higher resolution with downloads. And of course, the real benefit is they get access to all these amazing stories at a lower effective price.”

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Compared to Amazon's plan effective Jan. 29 to make ads for Prime Video subscribers as the default setting, Peters said the company considered it as well. However, “given our long history of not having ads, we thought it was better for our members, rather than force them into a change and give them ads… to attract them to the ads plan for the ones that wanted it based on the benefits,” he stated.

In order to fully phase out the Netflix Basic plan, the company stopped offering it to new subscribers starting 2023. This was done in the US, Canada and the UK. It also increased Basic's price from $9.99 to 11.99 a month in the US, and moved to do the same in the UK and France.

This plan is currently available in the US, UK, Canada, Australia, Brazil, France, Germany, Italy, Japan, Korea, Mexico and Spain. The streamer's Basic With Ads plan was launched in late 2022 at $6.99 in the US. This is less than the Standard plan's price at $15.49 a month.

According to Netflix, this increase — and by extension, scrapping the Basic no-ad plan —  is for the “additional investment to further improve and grow our service.”