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Netflix: We’re Raising Prices For New Members

Relax: It’s only by a buck or two.

Netflix: We’re Raising Prices For New Members
[Image: Flickr user Shardayyy]

Here’s an interesting nugget from Netflix’s new report to shareholders. CEO Reed Hastings writes that next quarter, the service plans on raising prices by “a dollar or two.” Right now, Netflix offers a streaming plan starting at $7.99 a month in the U.S. But analysts caution that as the service looks to expand–it already gobbles up over 30% of all downstream Internet traffic–the current pricing model would not be sustainable, especially as it dives into the very expensive original content game. As for existing members? They’ll be able to stay at the current price structure, per Netflix, “for a generous time period.”

About the author

Chris is a staff writer at Fast Company, where he covers business and tech. He has also written for The Week, TIME, Men's Journal, The Atlantic, and more.



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