Netflix, after pulling itself out of a grueling series of setbacks in the first part of 2022, will face another test Thursday afternoon when it reports fourth quarter financial results.
12.01.2023 - 20:11 / deadline.com
HBO Max is increasing its monthly price to $15.99 from $14.99 today, the first uptick in pricing since the streaming service launched in May 2020.
The move vaults the Warner Bros Discovery streaming into the No. 1 spot in the price rankings, ahead of Netflix, whose most popular subscription plan is $15.49. WBD has not announced any pricing plans for HBO Max when it merges with Discovery+ this spring. The combination is expected to be accompanied by a rebranding, with the HBO name reportedly likely to be removed in order to increase mass appeal.
The increase means existing subscribers who are currently paying $14.99 will see their monthly rate go up to $15.99 as of their next billing cycle on or after February 11.
“This price increase of one dollar will allow us to continue to invest in providing even more culture-defining programming and improving our customer experience for all users,” the company said in a statement.
Most major streaming services have been boosting prices of late, which is a reflection not only of the inflationary economic environment but also the dawning acknowledgement of the hefty costs of delivering original programming via the internet. Apple TV+ just phased in a 40% hike, while Disney+ jumped from $8 to $11 a month in December as the company rolled out an advertising-supported tier. Netflix has implemented three price increases of its standard plan in the U.S. since 2017.
Because of its roots in linear pay-TV, HBO Max has historically been limited in its ability to offer discounts and bundles. Before previous owner AT&T spun off HBO parent WarnerMedia into the merged entity with Discovery, it was encumbered by many distribution deals with “most-favored nation” clauses, meaning the price of HBO
Netflix, after pulling itself out of a grueling series of setbacks in the first part of 2022, will face another test Thursday afternoon when it reports fourth quarter financial results.
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