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Netflix set to increase prices to recoup cost of original programming

22nd April 2014 - StreamedTV

netflix_logoStreaming service Netflix is to increase its prices by between $1-2 per month.

News of the increase came as the company announced it had added 2.25 million new subscribers in the first quarter of the year, taking global customer numbers to 48m.

It’s not been announced how much the UK £5.99 per month fee will rise by, but existing customers are expected to retain their current prices for at least a year before seeing any increase.

As with Amazon’s rival Prime Instant Video service, Netflix has been increasingly adding original new content to its library.

Both services previously relied on much cheaper back catalogue shows, which allowed them to keep prices below those of traditional pay-TV broadcasters.

However buying first-run rights to shows such as House of Cards means the platforms now need to recoup their investment by passing the higher costs on to subscribers.

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Tagged With: Prime Video

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