April 2, 2019
Just weeks ahead of its first-quarter fiscal results, Netflix has begun informing subscribers by email of previously-announced (in January) price hikes ranging from 13% to 18%.
The increase adds $2 per month to the standard ($13) and premium ($16) plans of existing subs, while also increasing the price of the basic plan $1 to $9 monthly.
New subs since January already pay the new plan prices.
Netflix said it would use the funds for continued original content spending, which increasingly includes feature-length movies.
In January, the New York Times reported Netflix would spend upwards of $18 billion on original content compared to $12 billion last year.
News of the price hike emails helped Netflix’s stock close up 76 cents per share to $367.72.