Generative AI Ads Will Be Shown Mid-Stream On Netflix
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In its new bid to grow ad revenue quickly, Netflix has announced that they will be launching interactive mid-roll ads and pause ads (which have been tested since 2024) during, starting in 2026. Additionally, these ads will incorporate “Generative AI,” or they will be artificial intelligence-created ads instead of being ads featuring real-life actors. It is not clear specifically what kind of ads they might generate, nor how they may personally relate to the consumers watching them.
These ads will only be featured for the ad subscription tier plans, which Netflix introduced in 2022 and which account for half of all new Netflix subscriptions due to the substantially lower cost of $8/month as opposed to $18/month for their ad-free tier. Netflix management believes that this new move to increase ad avenue will be readily accepted by subscribers. Amy Reinhard, President of Advertising for Netflix, has asserted that “[Netflix] members pay as much attention to midroll ads as they do to the shows and movies themselves.”
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Source(s): ARS Technica
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