Netflix Goes to Raise Prices for Legacy Users As Expected
If you’ve been with Netflix since 2014 or earlier, you’re probably paying around $ 7.99 a month, although new users pay $ 9.99 . This year, for many users, this trip is coming to an end.
In a statement to shareholders, Netflix announced that in the second and third quarters of this year, “a significant number of our US members” will lose their previous prices. If you’ve paid $ 7.99 for the past two years, you’ll have a choice: either keep the $ 7.99 plan but only for streaming to SD, or you can upgrade to HD streaming and pay 9. 99 dollars.
To be clear, this is not a new price hike. When Netflix announced the price hike in May 2014 , it stated that existing users would be pegged at $ 7.99 for two years and, well, time is up. For those who reckon, staying with Netflix for a full two years will save you about $ 48, which should cover the additional cost of your new subscription over the next two years.
It’s a shame that prices for Netflix’s most loyal users are going up, but we all knew this was going to happen. If you’re too upset by this news, you can try to console yourself with 600 hours of new content that Netflix is creating this year . After all, you paid for it.
Netflix Income Statement [ PDF ] via The Next Web