Netflix is raising its most popular streaming plan by 10% from $9.99 to $10.99 beginning in November. The streaming giant, which has over 53 million subscribers in the U.S. alone, says the increased costs are necessary as competition from the likes of Amazon, YouTube and Hulu grows.
Some of Netflix’s other streaming plans will be affected as well. Plans that utilize ultra-high definition, 4K, video will rise 17% to $13.99 from $11.99 a month, but the lowest-cost plan, at $7.99 a month, will not increase in price. Netflix’s last price increase came in October of 2015.
In a statement to The Hollywood Reporter, Netflix had this to say about the increase: “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.”
In 2017 alone, Netflix has committed to spending $6 billion in original content. That includes original series like Ozark and The Defenders as well as standup specials from Jerry Seinfeld and Chris Rock, and even the acquisition of major motion pictures including Okja, Gerald’s Game, and The Meyerowitz Stories. Today’s price increase will no doubt go to further funding their original content initiatives.