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Your Netflix subscription is getting a price hike–the biggest one in 12 years

Your Netflix subscription is getting a price hike–the biggest one in 12 years
[Photo: JESHOOTS.COM/Unsplash]

Martin Scorsese movies and Shonda Rhimes mega-deals don’t exactly pay for themselves.

They’re both smart investments, of course, but investments cost money, and the money has to come from somewhere. In order to offset some of Netflix’s exorbitant costs ($13 billion for just 2018, not including an additional $80 million to keep Friends through 2019), the company is about to have its biggest price hike in 12 years.

According to Yahoo! News, Netflix is raising its U.S. prices by 13%-18% over the next few months. (New subscribers will begin at the higher price point starting immediately.) It’s the fourth time the company has raised its prices, and the largest increase overall since Netflix began its streaming service in 2007. (Remember life before streaming was the norm? Remember when DVR was a novelty? Remember appointment television?)

Folks subscribing to the basic streaming package will see their monthly price go up from $8 to $9, while the more popular option that offers high-def streaming on two devices simultaneously will increase from $11 to $13. Sources have not yet confirmed whether The Kominsky Method will improve qualitatively with the rate increase.

Proving as ever that Wall Street works in mysterious ways, as of 10 a.m. on Tuesday morning, Netflix stock is up more than 5% following the price hike news. Go figure.

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