Netflix just had a record quarter of new subscriber growth, crossing the 300 million subscriber milestone once again. To celebrate the milestone, the company has announced yet another price hike on most of its plans in the U.S., Canada, Portugal, and Argentina.
In today’s full year 2024 earnings, Netflix reported it ended the fiscal year with 302 million paid subscribers, adding a quarterly record 19 million in Q4 and up a record 41 million for the full year. This is the last quarter that Netflix will report subscriber growth, though the companies claims it will “continue to announce paid memberships as we cross key milestones.”
Accompanying these records, however, was a tiny asterisk buried in the letter to shareholders. Netflix is raising its prices yet again, just a little over a year after its last price increase in 2023. It also raised prices in 2022, and on average raised them roughly $1 to $2 a year before that going all the way back to its first price hike in 2014.
“As we continue to invest in programming and deliver more value for our members, we will occasionally ask our members to pay a little more so that we can re-invest to further improve Netflix,” the company said in its shareholder letter. “To that end, we are adjusting prices today across most plans in the US, Canada, Portugal and Argentina (which was already factored into the 2025 guidance we provided in October 2024).”
Notably, the letter did not clarify exactly what these price hikes would entail. Both The Wall Street Journal and Bloomberg are reporting that the ad-supported tier is going from $6.99 to $7.99 per month, standard ad-free will rise from $15.49 to $17.99 per month, and the premium tier will go from $22.99 to $24.99.
The company has also announced a new “extra member with ads” plan, which per Bloomberg and WSJ lets individuals on an ad-supported plan to add someone outside their household to an existing plan for an additional fee. Previously, extra members were limited to standard or premium plans.
Overall, Netflix’s revenue for the quarter was up 16% year-over-year to $10.2 billion, and its annual revenue was also up by the same percentage to $39 billion. The company is forecasting between 12% and 14% year-over-year growth in 2025.
Rebekah Valentine is a senior reporter for IGN. You can find her posting on BlueSky @duckvalentine.bsky.social. Got a story tip? Send it to [email protected].
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