Listen up all you Netflix watchers!
The company just announced that they will be raising their prices in the United States.
They plan to increase their current price by $1-$2, so your plan will increase to around $13.00 a month.
Since Netflix has been spending a lot of money on new content, the streaming service announced back in October that they were taking on two billion in debt.
According to Netflix, the price raise could help ease their concerns. “We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience for the benefit of our members.”
New rates will go into effect immediately for new customers and will now be applied to the already existing accounts in the next few months.
A study shows that Netflix expects that this year they will spend $12 billion on licensing and creating new content which is double of what they spent two years ago.
Netflix has posted revenue growth of more than 30% and is predicting $16 billion in revenue for 2018 which is up $8.8 billion from 2016.
What do you think about this?