The streaming giant added 2.4 million subscribers in the third quarter, better than its guidance of 1 million. That, and fourth-quarter guidance that called for another 4.5 million new subscribers, elicited cheers from the market, and the stock jumped 14.4% after hours Tuesday, following the earnings release.

Netflix grew subscribers in all four regions with particularly strong growth in the Asia-Pacific region, where it added 1.43 million new members and still has a large market to penetrate. While the return to subscriber growth provided much-needed good news for the company, that wasn't the only thing moving the stock.

Just six months after Netflix declared its intention to launch an advertising business, its ad-based tier is set to go live in early November. It will launch in 12 countries that together make up 75% of advertising spending on TV and streaming, or a $140 billion addressable market.

The basic-with-ads tier will cost 20% to 40% below the current basic plan, and will carry five minutes of advertising per hour. In the U.S., the basic-with-ads plan will go for $6.99/month, compared to $9.99/month for the ad-free basic plan.

Management said it didn't expect the ad tier to be material to fourth-quarter results since it was launching in the middle of the quarter and that it will take time to build out a base of ad-tier subscribers.

Could the tides be turning for the streaming giant?