tech

January 21, 2026

Netflix's advertising strategy shift is starting to pay off

Netflix reported $1.5 billion in ad revenue last year and expects that to double in 2026.

Netflix's advertising strategy shift is starting to pay off

TL;DR

  • Netflix's 2025 advertising revenue surpassed $1.5 billion, approximately 3% of total revenue.
  • Advertising revenue is expected to double in the current year.
  • Overall company revenue increased by nearly 16% in 2025, with net income rising 26%.
  • Netflix reported 325 million global subscribers at the end of 2025, an increase of approximately 23 million from the previous year.
  • Analysts noted that ad revenue disclosures fell short of some previous forecasts.
  • The gap in average revenue per membership between ad-supported and no-ads plans is narrowing.

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