Netflix has lowered its monthly subscription price in the United States by $1 to $2 depending on the plan (approx TV market.
The standard plan, which allows for two simultaneous streams, now costs $15.49 (about Rs. 1,100) per month, up from $13.99 (about Rs. 1,000) in the United States.
Prices also rose in Canada, where the standard plan climbed from CAD$14.99 (about Rs.880) to CAD$16.49 (about Rs.970).
The price increases, the first in these markets since October 2020, went into effect immediately for new customers. Existing members will see the new prices in the coming weeks when they receive their monthly bills. The price increases were not previously reported.
“We understand that people have more entertainment options than ever before, and we’re committed to providing our members with an even better experience,” said a Netflix spokesperson.
“We are updating our prices so we can continue to offer a wide variety of quality entertainment options. As always, we’re offering a range of plans so members can choose a price that fits their budget,” the spokesperson added.
The world’s largest streaming service faces its toughest competition ever from companies looking to engage viewers in online entertainment. Walt Disney, AT&T’s WarnerMedia, Amazon and Apple are among the competitors pouring billions into new programming.
Netflix had announced it would spend $17 billion (126457.05 crore) on programming in 2021. The company has not disclosed its 2022 spending.
The US price for Netflix’s premium plan, which allows for four streams simultaneously and streaming in Ultra HD, has increased by $2 to $19.99 (about Rs. 140-1400) per month. For Netflix’s basic one-stream plan, the cost increased by $1 to $9.99 (roughly Rs. 74 to Rs. 740) per month.
In Canada, the premium plan increased by CAD$2 to CAD$20.99 (approx. Rs. 118 to Rs. 1,200) and the basic plan remained unchanged at CAD$ 9.99 (approx. Rs. 600).
The United States and Canada is Netflix’s largest region, with 74 million subscribers as of September 2021. Most of the company’s recent growth has come from abroad.
Netflix subscriber growth slowed after booming at the start of the COVID-19 pandemic, but rebounded with the help of global phenomenon Squid Game, a South Korean dystopian thriller that released in September. The total number of worldwide subscriptions reached 213.6 million.
The company’s next subscriber report is due Thursday when Netflix releases its earnings results. Analysts expect the company to report 8.5 million new subscriptions from October to December, according to I/B/E/S data from Thomson Reuters, taking its global subscriber base to 222 million.
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