Netflix's Latest Price Hikes Explained

Netflix is asking select U.S. subscribers to show them a little more money

The streamer announced Wednesday that its basic, advertising-free plan will increase from $9.99/month to $11.99/month, while the premium, Ultra HD-infused, multiple-device plan will increase from $19.99/month to $22.99/month.

The prices for Netflix's two most popular tiers — the standard plan with ads and the standard plan without ads — will remain unchanged at $6.99 and $15.49, respectively. 

Netflix addressed the hikes in its third-quarter shareholder letter, explaining, "While we mostly paused price increases as we rolled out paid sharing, our overall approach remains the same — a range of prices and plans to meet a wide range of needs, and as we deliver more value to our members, we occasionally ask them to pay a bit more."

The price increases — which go into effect immediately — come on the heels of a strong quarter for the streamer: Netflix revealed Wednesday that it added 8.8 million customers in Q3, marking its best quarterly result in more than three years.

Last week, Disney and Hulu instituted price upticks of their own. The cost of Disney+ Premium rose 27 percent to $13.99/month, while Hulu's ad-free tier increases 20 percent to $17.99/month.