Netflix Inc (NASDAQ:NFLX, ETR:NFC) announced Tuesday that its ad-supported subscription tier has reached 70 million global monthly active users, marking substantial growth for the streaming giant’s ad business two years after its launch.
This figure represents a sharp increase from the 40 million users disclosed in May during Netflix's second Upfront presentation.
The ad plan now accounts for more than 50% of all new Netflix sign-ups in markets where the option is available, according to the company.
“As we celebrate two years since launching Netflix’s ads business, we continue to see positive momentum and growth across all areas of the business," Amy Reinhard, Netflix’s president of advertising wrote in a blog post. “We’re excited to now reach 70MM monthly active users globally and continue to see steady progress across all countries' member bases.”
Despite its robust user base, Netflix has yet to reveal actual subscriber figures for the ad tier, nor has it disclosed revenue details. Monthly active users (MAUs) include individuals sharing accounts, so the actual number of paying subscribers remains unclear.
Shares of Netflix gained 1.8% on Tuesday to close at $819.50.