YouTube Launches New Ad-Free Subscription Plan — Is It Worth It?
Written by
Dawn Allcot
Edited by
Amber Barkley
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
YouTube launched a Premium Lite ad-free subscription plan earlier this month that could save subscribers some money. The new plan, available for $7.99 per month, gives users ad-free streaming of most video content, except for music and music videos. Users who want ad-free music and music videos, along with downloads or background play, can stick with YouTube Premium and Music for $13.99 per month.
The introduction of Premium Lite places YouTube into the role of “Netflix’s biggest rival for viewers,” Martin Peers, co-executive editor of The Information, wrote in his newsletter, The Briefing.
While Netflix makes the bulk of its money from subscriptions, YouTube generates most of its revenue from ads. Now that the two streaming services are increasingly infringing on the other’s territory, it begs the question: Which streaming service is the better value for viewers? And how do the other services compare?
Is YouTube Premium Lite Worth It?
For YouTube viewers who prefer to listen to music through other services, such as Spotify or Amazon Music, a Premium Lite subscription makes sense. You’ll save $6 compared to YouTube Premium and can enjoy YouTube’s vast library of video content without ads.
How Does YouTube Premium Lite Compare to Other Services?
YouTube Premium Lite is the lowest cost ad-free streaming service viewers can find. Paramount+ with Showtime, the lowest cost ad-free offering from Paramount, is next in line at $12.99 per month.
On the other end of the spectrum, you’ll find the ad-free Disney+ and Hulu bundle for $19.99 per month. Other services fall in between those prices, but, depending on what you’re looking for, they may provide a better value.
For instance, Amazon Prime Video is included with a Prime subscription of $14.99 per month or as a standalone service for $9 per month. If you want ad-free, however, you’ll pay an extra $3. It’s worth noting that many movies on Prime Video cost extra to buy or rent.
You can also save money by paying for a year upfront for most streaming subs.
Premium Lite vs. Netflix
At $17.99 per month for an ad-free Netflix subscription that allows two devices on the account at one time, Netflix is not the cheapest nor the most expensive service. It also doesn’t have the most available content. YouTube takes that honor, followed by Prime Video.
Netflix stands out compared to YouTube, however, for its wide appeal to TV and movie enthusiasts. With over 5,000 movies and more than 2,500 TV series, both licensed and original titles, Netflix offers high-quality, well-produced content for all of its 300 million subscribers.
Netflix stands above YouTube, Amazon and the rest in terms of viewership — and it shows! Whether you’re gathered around a real-life office water cooler or waiting for a Zoom meeting to officially start, it’s Netflix programming that often dominates the small talk.
Streaming Service Comparison
See a comparison of top streaming services here:
| Service | Monthly Cost | Library | Subscribers | Other Features |
|---|---|---|---|---|
| YouTube Premium Lite | $7.99 | 5.1 billion videos | 125 million | |
| Netflix Standard | $17.99 | Over 5,000 films, 2,500 TV shows | 300 million | |
| Disney+ and Hulu | $19.99 | Over 2,500 movies and 1,800 TV shows combined | 178.2 million combined | |
| Amazon Prime | $14.99 | 25,000 movies and shows free, more available to buy or rent | 200,000 million globally | Free Amazon shipping, access to sales |
| Paramount+ and Showtime | $12.99 | Over 40,000 episodes and movies | 77.5 million for Paramount+ | Stream CBS Live |
Who Is YouTube Premium Lite Best For?
If your family’s viewing habits lean toward hours of streaming YouTube celebrities like Ryan Trahan or Mr. Beast, YouTube Premium Lite can enhance your enjoyment by eliminating annoying ads. Or if you frequently rely on YouTube for DIY home improvement tips or recipes, it’s probably worth 8 bucks a month to watch without ad interruption.
If you don’t tend to watch music videos or stream your favorite tunes through YouTube, Premium Lite can save you $72 a year vs. the Premium & Music service.
If you’re looking for highly produced original programming, classic TV shows or a vast library of movies, the other streaming services might deliver more of what you’re looking for, even if they cost more.
More From GOBankingRates
