Netflix announced that it is raising subscription prices again—and that it will no longer disclose subscriber numbers in its quarterly reports.
“As we continue to invest in programming and deliver more value to our members, from time to time we'll ask our members to pay a little more so we can reinvest to make Netflix even better,” Netflix wrote in a letter to shareholders.
The standard membership with ads will increase from $6.99 to $7.99, the standard monthly membership without ads will increase from $15.49 to $17.99, and the premium membership with 4K video will increase from $22.99 to $24.99. The price increases take effect on Tuesday.
Netflix recently raised prices for its standard ad-free plan in January 2022.
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That opens a new chapter for the company, as the streaming giant also revealed on Tuesday that it added a record high number of subscribers for the final quarter of 2024, nearly double analysts' forecasts.
According to Barron'sNetflix gained 18.9 million paid memberships in the three months ending in December, the biggest jump in subscription additions in its history and above forecasts of 9.8 million paid subscriptions for the quarter.
Netflix ended 2024 with 304 million subscribers.
The streaming giant is no longer sharing subscriber numbers as part of its quarterly reports after this one. According to a previous letter to investors in first quarter of 2024Netflix says the change is part of its evolution.
“While we have evolved our pricing and plans from a single tier to multiple tiers with different price points depending on the country, each paid membership has a very different business impact,” the letter said. “That's why we've stopped providing quarterly paid membership guidance in 2023. (Beginning) with our Q1 25 earnings, we'll stop reporting quarterly membership numbers and ARM (revenue average per member).”
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Netflix's success is due to its selection of popular shows and movies. According to the shareholder letter, the issue Squid game The second season is quickly becoming one of Netflix's most watched original seasons Jake Paul vs. Mike Tyson the fight was the most-streamed sporting event ever, and Netflix delivered the two most-streamed NFL games in live history on Christmas Day.
Netflix is planning to continue the momentum in 2025 by releasing new seasons of its biggest shows, including Squid game, WednesdayAND Foreign things.
However, Netflix is not resting on its laurels.
“We believe we account for less than 10% of TV viewing in each country in which we operate, all of which suggests a long growth trajectory as streaming continues to expand around the world,” Netflix wrote in its most recent letter. end of shareholders.
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