Netflix's ad revenue doubles to $1.5B in 2025
What's the story
Netflix's advertising business has seen a significant boost, with its revenue more than doubling to $1.5 billion from 2024 to 2025. The company's co-CEO Greg Peters announced the growth during an earnings call on Tuesday. He also projected that the advertising business could double again in 2026, reaching around $3 billion due to "massive" opportunities ahead for Netflix.
Subscription growth
Netflix's ad-supported streaming subscription gains traction
The surge in Netflix's advertising revenue can be attributed to the growing popularity of its ad-supported streaming subscription. The $7.99 per month plan has drawn over 94 million users every month as of May 2025. To further enhance this service, Netflix plans to introduce more AI-powered tools for advertisers this year and launch "interactive video ads" in Q2 2026.
Financial performance
Netflix's revenue and subscriber base grow in 2025
Netflix's overall revenue also saw a jump, reaching $12.05 billion in 2025, according to its Q4 earnings report. The number of subscribers for the service grew to a whopping 325 million during this period. In an attempt to expand its content offerings, Netflix has also made an all-cash offer of $82.7 billion for Warner Bros. Discovery's studio and streaming assets.
Content strategy
Netflix's strategic moves and upcoming releases
Netflix has also added a range of video podcasts from Spotify, iHeartRadio, and Barstool Sports. The company is even working on producing its own podcasts. On the content front, Netflix is gearing up to launch new seasons of popular shows such as Bridgerton, One Piece, 3 Body Problem, and The Witcher after the conclusion of Stranger Things and Squid Game.