Netflix is raising fees for U.S. subscribers in its price increase since the company first launched its streaming service 12 years ago.
Depending on your plan, the cost will go up between 13 percent to 18 percent. For the most popular plan (which includes high-definition streaming for up to two devices simultaneously), the price will increase from $11 to $13 per month.
“We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience for the benefit of our members,” the company said in a statement.
Given the increasingly competitive market for streaming, it seems inevitable that Netflix would have to raise prices to pay for its ever-growing investment in original content, and to pay for high-profile titles from other studios that may also be launching their own competing services. At the same time, price hikes could also drive away subscribers as they have more streaming options to choose from.
Still, Wall Street seems happy with the news — Netflix shares were up 5.9 percent as of 9:53am Eastern.
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