Netflix’s plans to increase prices for its ad-free service, once the Hollywood actors’ strike concludes, remained somewhat ambiguous in terms of the extent of the price hike and the exact timing of its implementation, as per the Wall Street Journal’s report. The streaming giant, following this news, saw its shares rise by more than 3%.
While discussions about price adjustments are underway across various global markets, Netflix is likely to initiate the price changes initially in the United States and Canada, as sources familiar with the matter revealed to the WSJ. The specifics of the price increase and the exact commencement date remained undisclosed at this time.
When approached for comment, Netflix declined to provide any official statement on the matter. Talks between the SAG-AFTRA actors’ union and the Alliance of Motion Picture and Television Producers (AMPTP), representing the studios, are ongoing, with their next meeting scheduled for Wednesday. Last week, the writers’ union reached a tentative agreement with the AMPTP after five months of negotiations.
Notably, Netflix had previously reduced the prices of its subscription plans in select countries back in February. In the same month, the company unveiled measures to combat password sharing among subscribers, a policy that was subsequently rolled out to more than 100 countries in May.