Why Streaming Prices Keep Climbing — And When They Might Stop?

Streaming services that once offered attractive deals, free trials, and lower subscription costs have been raising their prices, causing streaming expenses to reach an all-time high. Major streaming platforms, including Netflix, Hulu, Disney Plus, Max, Apple TV Plus, Paramount Plus, and Peacock, have implemented price increases in recent years. However, the question arises: will this trend continue, and when will these price hikes cease?

Key Points

  1. Streaming Price Hikes: In 2019, streaming services like Apple TV Plus, Disney Plus, and Hulu offered attractive pricing, with deals and discounts to lure in subscribers. Since then, these platforms have steadily increased their subscription rates.
  2. Netflix’s Influence: Netflix has played a pivotal role in determining price trends within the industry. Competitors often follow Netflix’s lead in terms of pricing tiers and are more likely to implement similar changes once Netflix has tested the waters. It serves as a bellwether for shifts in the industry.
  3. Netflix’s Unique Position: Netflix’s confidence in subscribers’ willingness to pay higher prices is a result of its solid reputation for uptime and user-friendly interface. While other streaming platforms may not have the same reliability, Netflix remains the industry leader.
  4. Slow Subscriber Growth: Streaming services have witnessed a slowdown in subscriber growth, prompting them to maximize revenue from existing users. Measures such as cracking down on password sharing and introducing ad-supported plans have become common strategies.
  5. Diverse Pricing Strategies: Platforms are exploring various pricing strategies, including ad-supported plans, to cater to a wider range of customers. Ad-supported plans often offer higher revenue per user and are expected to be part of the future landscape.
  6. The Split Between Premium and Ad-Supported: The pricing gap between premium and ad-supported plans is growing. Ad-supported plans are likely to remain below $10 per month, while premium plans exceed the $20 threshold. The majority of users will opt for cheaper ad-supported plans.


Streaming services’ consistent price hikes have become a common practice, driven by factors such as slowing subscriber growth and the rising costs of content production and licensing. While ad-supported plans offer affordability, the split between premium and ad-supported subscriptions is widening.

The future of streaming is expected to include a mix of premium and ad-supported options to cater to diverse consumer preferences. The ad-supported model may become the default option for those seeking affordability, while premium users will continue to bear higher costs for ad-free streaming.

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