Netflix has announced another price hike across its range of plans, marking the largest increase since the company’s streaming service launched. Each plan is going up by one or two dollars, depending on the features.
The AP reports that the basic $8-per-month streaming plan will be raised to $9. The next tier, which offers streaming in higher quality and across more devices–which is the company’s most popular tier–will increase from $11 to $13. The highest-tier plan, which offers 4K Ultra-HD will go from $14 to $16. These prices will roll out to existing subscribers over the next three months, and new subscribers will find them active immediately.
Netflix currently has 58 million US subscribers, and this is the first time a price hike will impact all of them at once. It has another 79 million subscribers outside of the US. The company is reportedly planning to funnel this new cash flow into even more investment in original shows and films, as well as to pay off the debts it has accrued while fighting off competing services.
“We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience,” the company said in a statement.
At $13 for the most popular tier, Netflix is now matching the price for Amazon Prime, which also includes free shipping and other special deals from the retailer. This also makes it the slightly pricier option compared to the ad-free version of Hulu, at $12 per month. (The lowest Hulu tier includes ads at $8 per month.) Netflix still comes in under HBO’s streaming price, which is $15 per month.
The added investment in more original programming may be necessary, as more and more companies prepare to launch their own streaming services. NBC just announced its plans for its own streaming service to launch in 2020, and Disney+ is expected to launch this year. That service has already outlined plans for shows featuring Marvel and Star Wars characters like Loki, The Mandalorian, and Cassian Andor.