Advertisers and ad tech executives are reportedly pressuring Netflix to provide more granular IP address data to improve geotargeting and cross-platform measurement. The lack of standardized granular data is leading some marketers to reallocate programmatic spend to other streaming platforms with more robust attribution capabilities.
The tension over IP data highlights a growing divide between Netflix’s premium 'walled garden' strategy and the requirements of performance-focused programmatic buyers. By withholding granular identifiers, Netflix protects user privacy but risks sidelining local advertisers and buyers who prioritize cross-platform frequency management. As Netflix aims to double ad revenue to $3 billion in 2026, its ability to scale beyond massive brand-awareness campaigns depends on technical concessions toward standardized measurement. Watch for the mid-2026 expansion of Netflix’s Amazon DSP integration as a signal of whether the streamer will embrace third-party audience data to offset its own restrictive signals.
The data transparency friction at Netflix coincides with a massive scaling of its ad-tier footprint. Per designrush, April 2026, Netflix reported that its ad business is on track to reach $3 billion in annual revenue, doubling its 2025 results. This growth is driven by the fact that the ad-supported tier now captures 60% of new sign-ups in active markets, up from 40% a year prior. To support this scale, Netflix recently integrated with Amazon DSP, allowing U.S. advertisers to use Amazon Audiences to inform their programmatic buys on Netflix inventory starting in Q2 2026.
While Netflix maintains a strict data posture, its direct competitors are leaning into specialized ad units and deeper transparency to differentiate. Per Marketing Dive, December 2025, NBCUniversal’s Peacock is launching ‘Arrival Ads’ in 2026, which allow brands to occupy the profile selection screen. NBCU also introduced ‘Live Total Impact,’ a tool designed to provide cross-platform retargeting capabilities usually reserved for social media platforms. Similarly, Disney reported in early 2025 that its ad-supported monthly active users reached 157 million globally, using a standardized transparency methodology to validate audience size for the upfront market.
Furthermore, Netflix is moving toward full technical independence to address these buyer demands on its own terms. Per TVBEurope, May 2025, the 'Netflix Ads Suite'—the streamer's first-party ad server—went live across all 12 ad-supported countries in June 2025. This transition away from Microsoft’s technology stack is designed to give Netflix direct control over its ad formats and measurement tools. The company has also poached several senior measurement executives from Amazon Ads, including Maggie Zhang and Lisa Kim, to build out internal attribution frameworks and reduce its reliance on controversial external identifiers like IP addresses.
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