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Netflix to launch ad-supported subscription

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Netflix co-CEO Ted Sarandos announced an advertising-supported subscription option is on its way.

"We’re adding an ad tier; we’re not adding ads to Netflix as you know it today," he said. "We’re adding an ad tier for folks who say, ‘Hey, I want a lower price and I’ll watch ads.'”

Google and NBCUniversal reportedly are top contenders to partner with Netflix on the initiative.

Read more from MarketWatch.

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