Netflix has been investing heavily in original content. It budgeted $8 billion for new shows and movies in 2018, the company announced when it reported third-quarter earnings in 2017.
Netflix price increase to go into effect soon
In January 2019, Netflix announced the upcoming rate increases to cover their investments in new content. More recently, Netflix has been sending emails to subscribers announcing the implementation of increases.
The email to subscribers is a reminder that each of Netflix’s plans in the United States will increase between $1 to $2. The price of the basic plan will rise from $8 to $9 per month, the standard plan that includes HD streaming on two devices will go from $11 to $13 per month, and the price of its premium plan will increase from $14 to $16.