Production and media service provider Netflix Inc. (NFLX) announced having raised monthly charges for its standard and premium subscribers based in the United States.
The company has raised price of its standard subscription by $1 a month bringing it to $14 and the cost of its premium subscription by $2 per month amounting to $18 per month.
Following this announcement made on October 29 stock of the company gained up to almost 5%.
The standard plan still remains the most popular and most subscribed to, the plan allows up to two simultaneous streams at a time while the premium subscriptions allows up to four simultaneous streams at a go.
These changes in prices will take effect starting from January next year. The company said its basic plan which only allows one stream at a time costing $8 per month won’t be affected by the price changes.
The company has been gaining a large number of new subscribers courtesy of the pandemic. Netflix is now expecting to have more than 200 streaming subscribers by the end of the year.
