Netflix Raises Prices in US, Canada, Portugal, and Argentina
Following a strong fourth quarter with 20 million new subscribers, Netflix (NFLX) has announced price increases for its streaming tiers in the US and other regions.
In the US, the ad-supported plan now costs $7.99 (up from $6.99), the Standard ad-free tier is $17.99 (from $15.49), and the Premium plan increases to $24.99 (from $22.99). Non-US users will also see price adjustments in Canada, Portugal, and Argentina.
Co-CEO Ted Sarandos emphasized Netflix's robust content pipeline, citing upcoming projects such as "Happy Gilmore 2" and highly anticipated seasons of popular shows like "You," "Stranger Things," and "Wednesday."
Investors welcomed the price hike, considering it overdue after Netflix's successful 2024. Senior analyst Geetha Ranganathan noted that price increases were anticipated in the US market.
This marks the first price hike for Netflix's two-year-old ad tier, which remains one of the most affordable among major streaming services. Standard and Premium tiers have undergone previous price adjustments.
In 2024, Netflix achieved notable success with NFL games, the "Jake Paul vs. Mike Tyson" match (attracting over 108 million global viewers), and the return of "Squid Game."
The company remains committed to investing in sports, particularly live events, and hinted at potential future sports acquisitions.
"We are constantly trying to broaden our programming, and live events is one of those things," Sarandos said. "If there was a path where we could actually make the economics work for both us and the league, we certainly would explore [more sports content.]"
Netflix noted strong engagement, with users spending two hours per day on the platform. The company believes its upcoming content slate justifies the price increases.