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Netflix has raised the monthly price of its most used streaming plan in the United States to $10.99 per month for new subscribers. The higher price allows you to stream content on two devices, as well as access their HD content. Existing customers will be periodically moved over to the new rate in months to come.
That means another $1 per month out of your pocket for your favorite shows, up from the original $9.99 monthly fee.
The company also increased the monthly fee for its four-stream “family plan,” from $11.99 to $13.99 per month.
The prices hikes was first reported by Mashable, who said subscribers would be officially notified by Netflix on October 19 about the changes to their bills.
In a statement, Netflix claimed the price increases were due to Netflix adding more original content, along with new product features and major improvements.
“From time to time, Netflix plans and pricing are adjusted as we add more exclusive TV shows and movies, introduce new product features and improve the overall Netflix experience to help members find something great to watch even faster,” the company said in a statement.
The company is spending around $6 billion on programming this year alone. Netflix says it “expects to operate with negative free cash flow for several years”, and is turning directly to debt markets to help fund the large content expenses.
Netflix reportedly plans to spend close to $7 billion on original content in 2018.
According to Variety, Netflix last raised prices in October 2015, when the two-stream plan increased from $7.99 to $9.99. It began new pricing level to all subs starting in May 2016.