Netflix Is Testing A Cheaper Mobile-Only Subscription

Joanna Estrada
November 15, 2018

Netflix CEO Reed Hastings in an interview with Bloomberg last week said his company was planning on testing a more affordable version of its streaming subscription service. That's half the price of the company's next cheapest package - "Basic" - which retails for RM33, or around $7.90, per month.

Netflix estimates that 60 percent of worldwide users watch a television show or movie on the streaming service's mobile app at least once a month.

Netflix is also catering to local markets with original content offerings. The Netflix heads want to be sure the consumer market is interested in an adjusted service at a cut-rate, and secondly: rigid pricing may be of interest in expanding markets where rigid pricing is a major deterrent.

A spokesperson for Netflix confirmed the Malaysian trial with TechCrunch, noting that similar tests are also being conducted in a few other countries. The initiative will also help Netflix fend off the many competing forces in Asia who offer streaming services at a $3 dollar rate, include iFlix, now operating in 28 different countries throughout the Asian peninsula.

While Netflix doesn't now offer a cheaper, mobile-only option in the U.S., Malaysia's Basic and Standard plans come in at about the same price compared to the equivalent plans in the states. According to Malaysia's Department of Statistics Salaries and Wages Survey Report, the only makes about $400 per month.

Other reports by Click Lancashire

Discuss This Article

FOLLOW OUR NEWSPAPER