Netflix testing cheaper mobile-only subscription plan in India

Netflix said that its mobile-only subscription is still under trial and not everyone will see these options.

Netflix’s mobile-only subscription plan reportedly costs half of the base plan offered to all users. (AP)

Netflix has extended its cheaper mobile-only subscription trials to India. The new plan is being tested with select users in the country. Netflix has confirmed it's not an official roll-out of a new plan or a price cut.

"We are always looking for ways to make Netflix more enjoyable and accessible. We will be testing different options in select countries where members can, for example, watch Netflix on their mobile device for a lower price and subscribe in shorter increments of time. Not everyone will see these options and we may never roll out these specific plans beyond the tests," a Netflix spokesperson said in a statement.

Netflix had launched its first cheaper subscription plan in Malaysia in November last year. The plan s priced at half of its current basic plan.

Earlier, Economic Times reported that Netflix's mobile-only plan is available for ₹250 per month. In comparison, Netflix's monthly subscription plan starts at ₹500. Netflix also offers two more options Standard and Premium, priced at ₹650 per month and ₹800 per month respectively.

Netflix's new cheaper mobile-only subscription test is considered to be the company's ambitious plans to acquire "100 million subscribers" from India. With an objective to tap India's growing internet user base, Netflix is partnering with local content creators and investing in "originals." Last year, it announced 7 new original productions for Asia, including nine for India.

Netflix, however, faces a strong competition from domestic players such as Disney-backed Hotstar and Alt Balaji. It is also competing with Amazon Prime Video which is part of Amazon's Prime subscription plans.

Netflix chief executive Reed Hastings last year said the company could thrive in India despite higher subscription plans.

"Now it is true that Youtube is free, and Amazon is basically free, and cable is extremely inexpensive because it's ad-supported. To some degree that creates a consumer expectation," he said. But he added that the cost of Netflix in India was "like going to the movie theatre 2-3 tickets a month, but you get to watch a lot more."