Netflix raises subscription prices as live content expands
Netflix has lifted rates for its ad-supported, standard and premium plans in the US and increased charges for adding extra members.
- Netflix has increased the monthly price for all of its subscription plans in the United States.
- The price hike is attributed to the company's expansion into new content, including live sports and video podcasts.
- The ad-supported plan is now $8.99, the standard plan is $19.99, and the premium tier is $26.99.
- The fee for adding an extra member to an account has also been raised.
Netflix has raised the prices of all its subscription plans in the United States as the streaming company expands into newer types of content, including video podcasts and live sports.
According to its website, the ad-supported plan now costs US$8.99 per month, up from US$7.99. Its standard plan has increased by US$2 to US$19.99 a month, while the premium tier now stands at US$26.99, compared with US$24.99 previously.
The company has also lifted the cost of adding an extra member. That fee is now US$7.99 for ad-supported plans and US$9.99 for ad-free plans.
Netflix, which has more than 325 million subscribers, discontinued its lowest-priced ad-free option, known as Basic, in 2023. That left customers with the pricier Standard and Premium plans, along with the Standard plan with ads.
TD Cowen analysts estimate that, following the latest price changes, Netflix’s average revenue per subscriber in the US-Canada market will increase by 6% year on year in 2026.
The company’s previous price adjustment came early last year.
Netflix posted revenue of US$12.1 billion for the October-to-December quarter, slightly above analysts’ forecasts.
In February, the company withdrew from the bidding process for Warner Bros’ streaming and studio assets, clearing the way for Paramount Skydance to acquire the Hollywood studio in a US$110 billion deal.
Reuters
