(Pocket-lint) – Netflix is raising its subscription rates once again.
Right now, most people in the US will probably eat these price hikes without even hardly complaining. But that might one day change, especially as Netflix has been losing some of its biggest content due to having more competition than ever. Here’s what you need to know, including why this is happening. Pocket-lint also contacted Netflix for a comment and will update this guide when more is known.
How much does Netflix cost now?
The popular video streaming service announced in January 2022 that all its US plans are getting price hikes again. The standard plan now costs $15.49 per month from $14, while the 4K plan is $20 per month from $18. The basic plan is also rising to $10 per month from $9.
|Premium (4K + Four screens)||$19.99||£13.99|
|Standard (HD + two screens)||$15.49||£9.99|
|Basic (No HD + one screen)||$9.99||£5.99|
Where is Netflix increasing prices?
Netflix’s latest price hike is limited to the US and Canada.
Is Netflix raising rates in the UK?
No. Netflix hasn’t said it is changing plan prices in the UK.
When do the price hikes go into effect?
Netflix’s price hikes go into effect immediately for new subscribers in the US and Canada. For existing subscribers in those countries, the price hikes will roll out “gradually”. Netflix said it will email members 30 days before it changes the price of their plans.
When did Netflix last raise prices?
Netflix announced its first large-scale price increases in 2014. Since then, its plan prices have steadily gone up. For reference, see the chart below:
Netflix price hikes in the US
|Premium (4K + Four screens)||$19.99||$17.99||$15.99||$13.99||$11.99||$11.99||$11.99|
|Standard (HD + two screens)||$15.49||$13.99||$12.99||$10.99||$9.99||$8.99||$7.99|
|Basic (No HD + one screen)||$9.99||$8.99||$8.99||$7.99||$7.99||$7.99||N/A|
Why does Netflix increase its rates?
Netflix’s primary goal has been – for quite a long time – to produce more of its own original content. For instance, Netflix CEO Reed Hastings once said Netflix has a goal to increase the amount of original content on the platform from 20 per cent to 50 per cent. So, if we had to guess, that is a large part of what’s driving these new price changes, as the video streaming service has to finance its original productions, which isn’t cheap.
“We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options”, Netflix told Reuters. “As always we offer a range of plans so members can pick a price that works for their budget”.
Let’s also not forget that Netflix can’t as easily acquire the rights to stream content from other media companies. It even lost some of its major content in recent years. For instance, Disney and Pixar and some of Marvel’s content moved over to Disney’s own streaming service, Disney+. On top of that blow, it seems like almost every company has or is building a new streaming platform.
Want to know more?
To learn more about Netflix and how it works, including some of the best tips and tricks for using the streaming service, see Pocket-lint’s guide:
Writing by Maggie Tillman.