Netflix is set to increase its subscription prices across several countries following a surge of nearly 19 million new subscribers in the final months of 2024. The streaming giant will raise its prices in the United States, Canada, Argentina, and Portugal.
In a statement, Netflix explained, “We will occasionally ask our members to pay a little more so that we can reinvest to further improve Netflix.” The price hikes come after the company reported stronger-than-expected subscriber growth, driven by popular content like the second season of the South Korean drama Squid Game and high-profile events, such as the boxing match between Jake Paul and Mike Tyson.
In the U.S., nearly all subscription plans will see a price increase. The standard plan, which includes no ads, will now cost $17.99 per month, up from $15.49. The ad-supported membership will also increase by $1, bringing its price to $7.99. This marks the second price hike in less than a year, with Netflix raising prices in the U.S. in October 2023 and also adjusting costs for some plans in the UK.
When asked about potential price increases in the UK, a Netflix spokesperson replied, “There’s nothing to share right now.”
Despite the price hikes, Netflix ended 2024 with more than 300 million subscribers, far exceeding expectations. The company had projected 9.6 million new subscribers between October and December but surpassed that number by nearly double. This will be the last time Netflix reports quarterly subscriber growth, as it plans to announce paid membership milestones going forward.
In addition to Squid Game and the Paul-Tyson fight, Netflix made a major move into live sports, broadcasting two NFL games on Christmas Day. The company plans to stream more live events, including WWE wrestling, and has secured broadcasting rights for the FIFA Women’s World Cup in 2027 and 2031.
Technology analyst Paolo Pescatore of PP Foresight noted that Netflix is “flexing its muscles” by raising prices, thanks to a stronger and more diversified content slate compared to its competitors. The company reported a net profit of $1.8 billion for the fourth quarter, double that of the same period in 2023, with sales increasing from $8.8 billion to $10.2 billion.
