Get ready. Netflix price hike is coming soon. The on-demand video streaming company plans to increase monthly rates as much as two dollars “later this quarter for new members only.” Current subscribers’ rates will remain the same for a” generous time period,” but they will be going up. The announcement was made in a letter to shareholders released today.
In the U.S., Netflix has nearly 36 million subscribes who pay around $7.99 a month. Worldwide, the streaming company has 48 million users in more than 40 countries according to its website. Lately, Netflix has successful moved into original programming with shows like “House of Cards,” “Orange is the New Black,” and the upcoming sitcom series, “Grace and Frankie.”
Also in the shareholders’ letter, Netflix explained its opposition to the proposed $45-billion-plus merger between Comcast and Time Warner Cable: “The combined company would possess even more anticompetitive leverage to charge arbitrary interconnection tolls for access to their customers.” More here.