Netflix Announces Yet Another Price Hike as it Adds a Record Number of New Subscribers

Netflix Achieves Record Subscriber Growth, Announces Price Increases

Netflix celebrated surpassing 300 million paid subscribers for the first time, reporting a record-breaking 19 million new subscribers in Q4 2024 and a total of 41 million for the year, culminating in 302 million paid memberships. While this marks the last quarter for which Netflix will publicly report subscriber growth figures (though they will continue to announce milestones), the achievement is accompanied by another price increase.

This marks yet another price adjustment for the streaming giant, following increases in 2023 and 2022, and a pattern of roughly $1-$2 annual increases dating back to 2014. The company justifies the price hike by citing continued investment in programming and a commitment to delivering enhanced value to its subscribers. The price adjustments will affect most plans in the U.S., Canada, Portugal, and Argentina.

While the exact price increases weren't explicitly detailed in the shareholder letter, reports from The Wall Street Journal and Bloomberg suggest the following changes:

• Basic with Ads: $6.99 to $7.99 per month
• Standard: $15.49 to $17.99 per month
• Premium: $22.99 to $24.99 per month

A significant new addition is an "extra member with ads" plan. This allows users on the ad-supported plan to add an extra member outside their household for an additional fee, a feature previously restricted to standard and premium plans.

Despite the price increases, Netflix reported strong financial results. Q4 revenue reached $10.2 billion, a 16% year-over-year increase, mirroring the annual revenue growth to $39 billion. The company projects 12% to 14% year-over-year revenue growth in 2025.