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Netflix is Increasing Prices of Monthly Subscription

by Ali Gulrez
Jan 15, 2022
in Entertainment
0

Netflix is increasing its monthly subscription prices by $1 to $2 in the United States depending on the plan, while prices in Canada have gone up by CAD 1.5 for the standard plan. Netflix said that the decision to increase prices was made to help pay for the new programming to compete in the crowded streaming TV market.

Netflix
Netflix is Increasing Prices of Monthly Subscription.

The standard plan in the US, which allows for two simultaneous streams, now costs $15.49 per month, up from the previous $13.99, while the same plan in Canada now costs CAD 16.49 per month, up from CAD 14.99. The US price for Netflix Premium, which offers four simultaneous streams, was increased by $2 to $19.99, while the same has been increased by CAD 2.00 to CAD 20.99 in Canada. The basic plan in the US has also been increased by $1 to $9.99, however, the is unchanged for Canada.

The increase in prices has taken effect immediately for new customers, while existing members will see the new prices in the weeks when their monthly subscription renews. “We understand people have more entertainment choices than ever and we’re committed to delivering an even better experience for our members,” a Netflix spokesperson said.

“We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options.” the spokesperson added. “As always we offer a range of plans so members can pick a price that works for their budget.”

Netflix is facing increasing competition from other companies like Walt Disney, Warner Media, Amazon Inc and Apple Inc, who have come out with their own streaming services with some very popular titles to attract viewers to their online entertainment services.

According to Evercore ISI analyst, Mark Mahaney, Netflix has been increasing the number of customers despite the increase in prices of their monthly subscription. The company had earlier said that it would spend $17 billion on programming in 2021 but it has not revealed the spending for 2022.

It bears mentioning that United States and Canada is Netflix’s largest region with 74 million streaming customers as of September 2021 and accounts for nearly 44% of the company’s revenue in 2021’s third quarter, or about $3.3 billion. However, the company’s recent pickup in subscribers has come from overseas.

Read more: Netflix launching free mobile plan for Android users.

Follow INCPAK on Facebook / Twitter / Instagram  for update.

Tags: NetflixNetflix CanadaNetflix US
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