Netflix subscribers in the United States and Canada may soon see a bump in their monthly bills as the streaming giant contemplates raising its subscription plan prices.
The move comes as Netflix seeks to offset earnings losses incurred during the ongoing Hollywood strike.
While these price hikes are initially targeted at American and Canadian customers, there’s potential for them to extend to other regions.
The Reason Behind Rising Subscription Costs
As reported by The Verge, Netflix could implement these price increases a few months after the Hollywood strike reaches a resolution, which may happen in the coming weeks.
This information was first disclosed by the Wall Street Journal.
The extent of the price hike, however, remains uncertain.
Hollywood Strike Sparks the Need for Price Adjustments
More than 15,000 television and film actors initiated a strike in July, demanding increased wages and fair compensation for their work on the streaming platform.
The Screen Actors Guild, a union affiliated with the American Federation of Television and Radio Artists, representing approximately 160,000 actors, is participating in the strike due to disagreements with the Alliance of Motion Picture and Television Producers concerning residuals and the use of AI.
This strike follows the footsteps of the Writers Guild of America (WGA), which has been on strike since May 2.
Previous Price Hike History
Netflix previously raised subscription prices last year, raising the cost of its ad-free standard tier to $15.49 per month and the premium plan to $19.99 per month. The company also introduced a $6.99 per month ad-supported plan and later discontinued its basic $9.99 per month ad-free plan.
Netflix Plans in India
In India, Netflix offers four distinct plans catering to users’ preferences. The most affordable plan, priced at Rs 149, provides content at 480p quality on a single mobile device.
For Rs 199 per month, users can stream content in 720p on any one device, such as a TV, computer, or mobile. This plan is the most popular in the country.
The Rs 499 plan offers 1080p quality on two devices, while the Rs 649 plan provides 4K+HDR quality for up to four devices.
Crackdown on Password Sharing
Earlier this year, Netflix implemented restrictions on password sharing, introducing an additional $7.99 monthly charge for sharing accounts with individuals outside of one’s household.