Netflix may raise prices again and remove the basic plan completely

Netflix’s ad-supported subscription plan has been growing for the second quarter in a row, which is why the company intends to completely remove the cheapest ad-free plan. In addition, in a letter to shareholders, the company expressed plans to raise prices, writes Hollywood Reporter

In its financial report for Q4 2023, the company reported that the paid plan accounted for 40% of new users, up from 30% in Q3. In total, the ad-supported plan grew by 70% and is used by 23 million people, and this number is growing.

With the steady growth of the ad-supported plan, Netflix aims to completely abandon the cheapest ad-free subscription. First, this plan was stopped offering to new users, and in the spring it will be completely removed from Canada and the UK.

In a letter to shareholders, the company’s executives also announced a potential price increase:

“As we invest in and improve Netflix, we’ll occasionally ask our members to pay a little extra to reflect those improvements, which in turn helps drive the positive flywheel of additional investment to further improve and grow our service.”