The cheapest "Standard with ads" plan in the US will increase by $1, from $6.99 to $7.99 per month.
For the Standard plan, the price will increase from $15.49 to $17.99 per month. Meanwhile, the Premium plan will have a new price of $24.99 per month, up from the old price of $22.99.
The Standard plan offers 1080p HD video, while the Premium plan is the only option that supports 4K streaming.
The announcement came as Netflix reported its fourth-quarter 2024 financial results, in which the company reported a record 19 million new subscribers and 16% revenue growth. Netflix now has more than 300 million paid subscribers worldwide and is forecasting continued growth through 2025.
Netflix explained the price increase this time: "While we continue to invest in content and bring more value to our members, we will sometimes ask users to pay a little more to reinvest and help Netflix improve."
Netflix's continued price hikes show that it is investing heavily in content and technology to maintain its leading position in the streaming market.
However, this also poses a significant challenge in retaining users, especially when rival platforms such as Disney+, Hulu, and Amazon Prime Video are offering many attractive options at competitive prices.
Users will now have to think more carefully about the value they get from the services they subscribe to.
Meanwhile, Netflix needs to prove that the new price comes with a better experience and richer content to meet the expectations of hundreds of millions of subscribers worldwide.
