Netflix raised the prices of its plans on Friday for U.S. and Canadian subscribers in a move that seemingly came out of nowhere.
In a report from Reuters, the company is raising prices from $1 to $2 per month depending on which plan you’re on. The basic plan now costs $9.99, with the standard plan and premium plan going for $15.49 and $19.99 per month, respectively. In Canada, the respective prices are $9.99 CAD, $16.49 CAD, and $20.99 CAD.
Netflix didn’t immediately respond to our request for comment on the increase. However, a spokesperson explained the increase for
We understand people have more entertainment choices than ever and we’re committed to delivering an even better experience for our members. We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options. As always we offer a range of plans so members can pick a price that works for their budget.
While price increases are understandable given the amount of money spent on licensing and producing original content, it’s a bit strange that there wasn’t a formal announcement made prior to the increase.
One of Netflix’s biggest competitors, Hulu, normally gives customers a month’s notice before pricing changes to unto effect. Additionally, this brings the Netflix basic plan in line with HBO Max’s ad-supported plan while making it even more expensive than Hulu or Disney+.
While the increase may deter some viewers, others may not mind paying a little more for access to content like “Squid Game,” “Don’t Look Up,” and “Arcane.”
T-Mobile subscribers also don’t have to worry — the best U.S. wireless carrier says on its press site that it will continue to cover your subscription.
With the streaming platform’s earnings call scheduled for January 20, we should learn more about the company’s motives.
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