CALIFORNIA — Netflix raised subscription prices across all three of its service tiers for the second time in just over a year. The streaming company's ad-supported plan now costs $8.99 per month, up from $7.99, while the Standard ad-free plan increased to $19.99 from $17.99 and the Premium tier rose to $26.99 from $24.99.

New subscription fees took effect immediately for new Netflix members, and existing members will be notified of the changes in the coming weeks. The company last raised prices in January 2025, which followed a previous increase in October 2023.

Netflix said the price increases were due to improvements to its "wide range of entertainment" and to the service. The company has added several features since its prior price hike, including HDR10+ support, a new type of subtitles that writes out only what people are saying, and a revamped TV app. Netflix also announced plans for an updated mobile app, streaming of traditional broadcast channels, and AI-generated advertisements.

Netflix's financial performance has strengthened. The company's net income reached about $11 billion in 2025, up from $8.7 billion in 2024. According to S&P Capital IQ, Netflix's revenue increased nearly 16% from 2024 to 2025. Spencer Adam Neumann, chief financial officer of Netflix, said that pricing, membership growth, and a doubling of ad revenue are key revenue drivers for 2026.

Netflix's pricing changes follow similar moves across the streaming industry. Disney+, HBO Max, Peacock, and Apple TV+ all raised subscription prices in 2025. Disney+ currently charges $12 monthly for its plan with commercials and $19 without commercials. Despite the increase, Netflix's ad-supported plan costs less than comparable plans from Disney+, Hulu, HBO Max, and Peacock, and matches the pricing of Paramount+ and the standalone Amazon Prime Video plan.

The company has expanded its offerings beyond traditional streaming content. Netflix expanded into live programming in January 2025 and debuted live Major League Baseball games in 2026. The platform is also integrating more video podcast episodes, including content from Barstool Sports and iHeartMedia. Netflix's stock price rose 1.13% before the opening bell.