Netflix raises prices for some subscribers as it reports 18.9 million new customers in three months | Ents & Arts News

On By Littum

Netflix is ​​raising prices for some subscribers as it reported 18.9 million new customers in the last three months of 2024.

Prices will increase for users in the US, Canada, Portugal and Argentina. Netflix has not confirmed whether the UK will see any similar price increases.

In the US, a standard monthly plan with ads will rise to $7.99 (£6.49), a standard plan without ads will rise to $17.99 (£14.60), and a premium plan has risen to $22.99 ( £18.66).

Pricing in the UK is currently £4.99 for a standard monthly plan with ads, £10.99 for standard without ads and £17.99 for a premium account.

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Netflix ended last year with more than 300 million subscribers — up 41 million from 2023. This eclipsed its best year yet, 2020, when it added 36.6 million subscribers as pandemic lockdowns saw people turn to the streaming giant for entertainment.

After it announced the increase in users, Netflix shares rose 14%.

The increase in numbers is largely attributed to Netflix’s streaming of a fight between YouTube sensation Jake Paul and former heavyweight boxing champion Mike Tyson, as well as two National Football League games on Christmas Day.

Forrester Research analyst Mike Proulx says live programming is fast becoming Netflix’s “secret ingredient” helping to extend its lead over its streaming rivals.

“With more choices in programming than ever before, streaming services need to differentiate themselves,” Proulx said. “FOMO (fear of missing out) is a powerful tool for generating interest and creating stickiness.”

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Paul beats Tyson by unanimous decision

In the last three months of 2024, Netflix earned 1.9 billion. USD, or $4.27 per share, nearly doubling from the same time in 2023.

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Netflix seems confident that the price increases won’t trigger a backlash that results in mass cancellations.

“When you’re going to ask for a price increase, you better make sure you have the goods and the commitment to back it up,” Netflix co-CEO Ted Sarandos said on a conference call with analysts.

Netflix has been contacted for comment.