Netflix Announces First U.S. Price Increase Since January 2025

Stock News03-27

Netflix has raised prices for its U.S. subscription plans, marking the first increase since January 2025. The standard plan with ads has been increased by $1 to $8.99 per month. The standard plan without ads has been raised by $2 to $19.99 per month. The premium plan, which supports viewing on four devices simultaneously, has also increased by $2 to $26.99 per month.

The company stated that it will continue to offer a variety of price points and plan options to meet different needs. The new prices are effective immediately for new subscribers. Existing users will receive an email notification one month before the new prices take effect.

Netflix attributed the price adjustment to its ongoing investment in content production. This includes new seasons of popular series like the live-action adaptation of "One Piece" and films such as "Peaky Blinders: The King's Ransom." The company has also been expanding its live event offerings, including a recent comeback concert by the group BTS.

Netflix had previously hinted at a potential price increase when it released its earnings report in January. The company forecasts full-year revenue could reach up to $51.7 billion, driven by membership growth, price adjustments, and a doubling of advertising revenue. At that time, Netflix reported its global paid membership total had surpassed 325 million.

As a leader in the streaming television industry, Netflix recently withdrew from the bidding for Warner Bros. Discovery's studio and streaming assets, paving the way for competitor Paramount's potential acquisition. Following investor skepticism during the bidding war with Warner Bros., Netflix's stock price has recovered since late February. On Thursday, Netflix shares closed up 1.4%.

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