On Tuesday, NBC announced that stock in Netflix has increased by 6 percent for one particular reason: increased Netflix streaming. Due to increase of subscription purchases, Netflix has decided to raise their most popular subscription price from $11 to $13. According to the Associated Press, the streaming company will offer perks along with the pay increase.
That option offers high-definition streaming on up to two different internet-connected devices simultaneously. Even at the higher price, that plan is still a few dollars cheaper than HBO, whose streaming service charges $15 per month.
The extra cash will help to pay for Netflix’s huge investment in original shows and films and finance the heavy debt it has assumed to ward off rivals such as Amazon, Disney and AT&T.
The subscription increase of Netflix piggy-backed on the news of the newest streaming service that may be coming our way: NBCUniversal.
NBC will allow people who don’t have traditional pay-TV packages to subscribe to the service for a price comparable to Netflix, upward of $10 a month, according to a person familiar with the matter. The service will initially debut in the U.S., but NBC plans to roll it out to international markets, adjusting its approach to accommodate its existing licensing agreements, the person said.