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Paramount+ to introduce ad-supported cheaper tier

Less than six months after launching, ViacomCBS’s streaming service Paramount+ is introducing a cheaper ad-supported tier.

The ‘essential’ plan will cost US$5 per month – half the price of the premium tier – but will come with a number of key differences. 

Those differences largely lie along the lines of content. Along with the addition of advertising, the cheaper tier will not offer local news coverage and will have a more limited range of sports coverage. Subscribers of the essential tier will also not be able to download content for offline viewing.

The US$5 plan is essentially a replacement for the US$6 plan which was carried over from CBS All Access. Legacy customers still have the choice to continue paying US$6 per month for the limited commercial programming offer.

The announcement comes shortly after WarnerMedia introduced a US$9.99 per month ad-supported tier for its premium streaming service HBO Max. Peacock, the other relative newcomer in the world of US broadcaster VOD services, has strongly incorporated advertising into its platform, and offers three tiers ranging from free to US$9.99 per month.