NBCUniversal's Peacock streaming service has ended its free ad-supported tier for new subscribers. Launched in July 2020, the streamer provided users with access to a large library of NBCUniversal content including The Office, Parks and Recreation, and Saturday Night Live, as well as original programming including Bel-Air, Angelyne, and Dr. Death. The service originally offered the promise that it provided the best high-quality free content with access to a wealth of first and third-party at no cost. Premium paid access unlocks Peacock's entire library and includes major sports coverage of the Barclay's Premier League, Major League Baseball, and the Olympics among others.
Per Variety, NBCUniversal has ended Peacock's free ad-supported tier for new subscribers. Starting January 30, the popular streaming service now only offers its two premium tiers for newcomers, either the Premium plan with ads for $4.99 a month or Premium Plus without ads for $9.99 a month. Those already signed up for the free tier can continue to use the service indefinitely. This news comes as NBCUniversal also plans to end free Peacock Premium access for Comcast Cable and Cox customers. A spokesperson for NBCUniversal explained that the move was part of its new strategy to focus on its paid plans to help grow the platform.
Will Removing the Free Tier Hurt Peacock?
Nixing Peacock's free ad-supported plan will undoubtedly draw ire from those looking to join the service. However, the service's launch over two years ago means those looking to subscribe to the service have likely done so at this point, grandfathering them into the original free plan. Peacock's lower-cost Premium tier still provides users with one of the least expensive plans on the market compared to Netflix's Basic with ads for $6.99, HBO Max's $9.99 ad plan, or Hulu's ad tier for $7.99.
One of Peacock's biggest draws is its wealth of sports coverage available in its Premium plans. The service hosts the Barclay's Premier League, one of the most watched soccer leagues in the world, as well as access to collegiate sports, MLB, and all Sunday Night Football and post-season games. The majority of its sports content is unavailable with the free ad-supported plan. With Peacock maintaining its licenses to desirable sports content, it is unlikely the majority of the service's over 20 million paid users will leave the service over the cancellation of its free tier.
Peacock also continues to develop quality solely for the streaming platform. Knives Out writer-director, Rian Johnson, just released his highly-anticipated case-of-the-week television series Poker Face starring Russian Doll's Natasha Lyonne. Although NBCUniversal removing Peacock's free tier may appear to be a risky move by the company, it is unlikely that the decision will have a major impact on subscriber numbers. However, with strong sports coverage and new acclaimed series to include Poker Face and Bel-Air, only time will tell if the tier's removal will truly affect the service's competitiveness.
Source: Variety