There was a time when streamers wooed potential customers with the promise of an ad-free experience. In recent years, however, companies such as Netflix, Amazon, Disney and more have hiked up their prices and made an ad-supported tier the most affordable option. Now, Netflix is taking the next step towards becoming a de-facto ad tech company by moving its development in-house, according to The Hollywood Reporter.

Netflix announced the shift during its upfront preview, in which the company also shared that its $7 per month ad-supported tier has 40 million monthly active users. The ad-supported plan is reportedly getting 40 percent of new signups, with it having 15 million users just six months ago, in November.

The streaming company has relied heavily on Microsoft to reach this success, partnering with the tech giant in 2022 on advertising and sales. But, the training wheels are coming off with Netflix's choice to move things in house, a choice that "will allow us to power the ads plan with the same level of excellence that’s made Netflix the leader in streaming technology today," Netflix ads chief Amy Reinhard said. Microsoft will also no longer be Netflix's sole ad tech partner, as the streamer will start working with companies like Google’s Display & Video 360 and The Trade Desk later this summer.