Netflix anticipates it can reach 40 million unique global viewers and 13.3 million in the U.S. for its upcoming ad-supported service by the third quarter of 2023, according to a report.

A Netflix spokesperson offered this statement to Television News Daily: “We are still in the early days of deciding how to launch a lower priced, ad supported tier and no decisions have been made. So this is all just speculation at this point.”

In preliminary estimates, the report said Netflix expected 4.4 million viewers worldwide at the end of the year, and 1.1 million from the U.S.

The story was first reported in The Wall Street Journal, citing a document shared with advertising and media agency executives. Netflix and its advertising partner Microsoft Corp. met with executives over the last few weeks.

Jason Kanefsky, managing partner, marketplace Intelligence of Havas Media, told Television News Daily the initial estimate seems to make sense if one projects 500,000 U.S. subscribers for the Netflix ad-supported option with two viewers per household.

An earlier report revealed that Netflix told media buyers it will start its new advertising service at a sky-high $65 cost-per-thousand (CPM) viewers — well above all other premium large streaming platforms that sell advertising time.

Ed Papazian, president of Media Dynamics, said in a comment to TV Watch a couple of weeks ago that it is not just the high price that might give media buyers pause:

“There will be virtually no targeting capabilities in the sense that most marketers interpret them. Also, most of the commercials will run in proximity to shows of Netflix’s choosing with buyers having no say about what program content their ads are placed next to. And the real premium content may exclude ads entirely.”