If you love streaming movies, documentaries or television shows over your mobile device, the price to binge watch is going up if you get your content from Netflix.
Netflix is raising subscription prices in the USA and parts of Europe as the leading online streaming service invests in more shows and features, the company said Thursday.
USA Today reports the service's most popular plan will now cost $10.99 a month.
Pricing for Netflix's single-stream "basic" non-HD plan remains unchanged, at $7.99 per month. With upcoming shows like The Punisher, the company is indeed gearing up to shell out a major amount of money to develop good content and hence the hike in the prices.
The streaming giant last raised prices in the USA two years ago. The spokesperson added that Netflix would begin to notify members of the change on October 19. As Netflix expands into original content, its operational costs increase as well and, eventually, some of those costs will be passed onto Netflix's customers.
Will you stick with Netflix through the price hike or is this a deal breaker for you?
Pachter thinks Netflix's price increases would be more likely to dissuade potential new subscribers, and that Amazon and Hulu may draw those customers to their services instead. The company's chief content officer Ted Sarandos recently confirmed that Netflix will spend $7 billion on content next year alone. The lowest price-point plan will not change. "We think that Netflix is destined to be a cash-burning, high-growth company until it changes its strategy and accepts its fate as a highly profitable slow-growth company". The Standard plan will see its price increase from $9.99 a month to $10.99 a month. So there's that, T-Mobile's Netflix On Us promotion will still be available even with Netflix's prices increasing.