Last month, Netflix told investors it would raise prices for its streaming video service. Now they’re doing it.
New Netflix subscribers will now pay $9 a month, up from the $8 level the company has had for several years. If you’re one of the 35 million Americans who was already paying for a subscription, your price won’t go up for two years. The company is instituting similar hikes in Europe.
Here’s the PR explanation of the hike: “To continue adding more movies and TV shows and delivering a great streaming experience, we previously announced that we planned to increase our price slightly for new members. That increase is happening today. We are increasing the price of our service by US$1 a month for new members. Existing Netflix members get to keep their current (US$7.99) price for two years, enjoying HD-quality movies and TV shows on any two screens at the same time.”
And here’s how Netflix is communicating the change to its members:
This article originally appeared on Recode.net.