I was a bit surprised to hear that HBO Max increased its standard monthly price last week. It’s now $18.49, which is a $1.50 jump. When the service first launched during the pandemic five years ago, it was a lot cheaper – this new price is about 23% higher than what they started with! It’s interesting to see how much things have changed.
It’s now common news in the TV industry that streaming services are facing financial challenges. Rising inflation is squeezing them, as they struggle to become profitable and cover the increasing costs of making and acquiring shows and movies.
Streaming services used to be a budget-friendly option compared to cable, but now their prices are increasing, similar to the rising costs of everyday expenses like food, gas, and housing.
The cost of popular streaming services in the U.S. continues to rise. This year, the average price for the top 10 paid services increased by 12%, continuing a trend of double-digit increases each year since 2022, according to research from Convergence Research Group in Victoria, British Columbia.
The research looked at popular streaming services like Netflix, Disney+, Hulu, Peacock, and Apple TV. It considered both ad-supported and ad-free subscriptions, but didn’t include bundled packages. This year, most major U.S. streaming services increased their prices. However, Paramount+ and Amazon Prime Video had already raised rates in the past – Paramount+ last year and Amazon Prime Video in 2022.
These price increases are happening because media companies are facing financial challenges. They’re trying to make up for lost income from traditional cable and satellite TV, as fewer people are watching those channels.
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Popular streaming services like Netflix, Disney+, and Apple TV+ are now charging more for their subscriptions. This price increase comes as the rapid growth they experienced during the pandemic has begun to slow down.
I really think these companies need live sports to succeed right now. Basically, their traditional businesses are struggling because of streaming, and live sports are one of the few things that can bring in enough money to make up for those losses. It’s putting a lot of pressure on them to get it right.
According to Tim Hanlon, CEO of media consulting firm Vertere Group LLC, streaming services haven’t been profitable for a while – they’ve been operating at a loss to attract customers.
“There’s no question that streaming is now under the gun to be its own profit center,” Hanlon said.
If rates go much higher, consumers may balk, experts said.
As a movie critic, I’m seeing a real problem brewing in the industry. Magid’s Andrew Hare put it perfectly – they’re pushing prices higher and higher, and I think we’re quickly reaching a point where audiences are just going to cancel their subscriptions and be paralyzed by all the options. It’s a risky move, and I’m worried about what it means for the future of streaming and moviegoing.
Magid has noticed more consumers planning to cancel at least one streaming service in the coming six months. Currently, 24% intend to do so, an increase from 19% a year ago in the second quarter of 2025.
According to Hare, despite initial doubts, cable bundles are increasingly appearing to be a good deal.
As a movie and TV critic, I’ve been keeping a close eye on how much we’re all paying for our streaming subscriptions. This year, a lot of the big players – think Netflix, Disney+, and others – have decided to bump up the prices for plans that let you watch without ads. It’s something viewers definitely need to be aware of as their monthly bills creep up.
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People who switched from expensive cable TV to more affordable streaming services are discovering that the cost of all their subscriptions can actually add up to a similar amount.
HBO Max
HBO Max has increased the price of all its subscription plans. The most basic, ad-free plan now costs $18.49 per month, which is $1.50 more than before. The yearly version of that same plan has gone up by $15, to $184.99.
As a big streaming fan, I was really interested to see HBO Max and Discovery+ are doing well! Warner Bros. Discovery just announced they have a total of 125.7 million subscribers worldwide, which is a solid 22% increase compared to this time last year. It’s great to see so many people enjoying what they have to offer.
Similar to other streaming services, HBO explained that it needs to cover the costs of producing high-quality shows. They offer expensive programs like the drama “The Gilded Age” and “House of the Dragon,” which is set in the world of “Game of Thrones.”
People can expect to pay more for HBO Max in the future. Warner Bros. Discovery’s CEO, David Zaslav, recently stated at an investor event that the current price for the streaming service is too low.
I was listening to Zaslav talk, and it sounds like while they want to keep things affordable for us fans right now, he thinks they’ll be able to eventually increase prices, especially when it comes to the quality of what they’re offering. Basically, he believes better quality content will justify higher costs down the line.
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Netflix’s latest financial results confirmed its leading position in the streaming market, boosted by popular shows like “Squid Game” and events like the Jake Paul vs. Mike Tyson boxing match.
Peacock
Major sports are increasingly available on streaming services, and it’s consumers who are ultimately paying for this shift.
Peacock, preparing to stream a lot more NBA games this season, recently raised the price of its plans. The premium plan without ads now costs $16.99 per month – a $3 increase. This is the third time Peacock has increased prices since it launched in 2020, when the ad-free plan originally cost $9.99 a month.
Peacock, the streaming service owned by Comcast with 41 million paying subscribers, currently shows live sports on Mondays and Tuesdays. They’ll also have an exclusive NFL game on December 27th. Next year, Peacock will be the home of the Milan Cortina Winter Olympics and will continue to stream popular sporting events, including NFL games.
As a huge streaming fan, I was really interested to hear what Comcast’s Mike Cavanagh said on their recent earnings call. He’s predicting that Peacock is going to become the go-to place for live sports next year – apparently, they’re planning to have more hours of live sports coverage than any other streaming service out there. It sounds like they’re making a big push in that direction, and I’m curious to see if it pays off!
Netflix
Netflix is now streaming sports, having added two NFL games to its Christmas Day lineup.
The leading streaming service is also likely to include Major League Baseball’s Home Run Derby and a game from opening night once MLB completes its new broadcasting agreement later this year.
The company increased prices on many of its plans, including its most affordable ad-free monthly plan, which now costs $17.99 in the U.S. – a $2.50 increase. They explained this change was due to their recent investment in expensive sports broadcasting rights.
In a January letter to investors, Netflix explained that they will sometimes increase prices slightly to fund ongoing improvements to their programming and overall service, allowing them to continue providing value to members.
Watching sports is becoming increasingly expensive for fans, who now often need several streaming subscriptions just to follow all their favorite NFL games.
“A certain type of fan is starting to recognize they are being fleeced,” Hanlon said.
Charging more for ad-free streaming options can encourage viewers to choose the cheaper plans that include ads. Netflix introduced its ad-supported plan in 2022 for $6.99 per month, and as of January 2025, it has only increased to $7.99 per month.
Lots of popular streaming services now have lower-cost plans that include advertisements. And there are also completely free options, like the Roku Channel and Tubi, that are supported by ads.
A new study by Magid shows that most consumers – about 75% – are willing to watch ads if it means they can save money.
Nearly half of people (40%) feel overwhelmed by the amount of streaming services they subscribe to. On average, households now have 4.6 streaming subscriptions, an increase from 4.1 a year ago.
The research indicates that streaming viewers are increasingly focused on getting the most for their money and prefer easy-to-use services.
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Apple TV+ has earned praise for shows such as “Severance” and “The Studio,” but it’s still a smaller streaming service when compared to competitors like Netflix and Disney+.
Apple TV
Apple TV used to be a very affordable streaming option, originally costing just $4.99 per month. However, the price has gone up over time, and now costs $12.99 a month, with the most recent increase of $3 happening in August.
Apple, based in Cupertino, is working to improve the profitability of its streaming service. However, it’s a challenge because the company has invested heavily in securing well-known actors and creators for its shows and films.
When Apple TV first launched, it had just nine programs, but since then has expanded its library to include critically acclaimed shows and films including comedy “Ted Lasso,” drama “Severance” and “The Studio.”
Apple confirmed that it increased the price of its monthly subscription without ads, but the yearly subscription still costs $99, and the price of Apple One bundles hasn’t changed.
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Apple TV+ is increasing its monthly price by 30%, joining other streaming services that have recently become more expensive.
Disney+
Disney+ recently raised the price of its ad-free plan by $3, bringing the monthly cost to $18.99. However, Hulu kept the price of its ad-free monthly plan the same.
As a Disney+ subscriber, I’ve noticed the price has been going up steadily. This is actually the fourth year in a row they’ve increased it since the service first launched six years ago – it used to be just $6.99 a month, which was a great deal! Now it’s definitely getting more expensive, but I still feel it’s worth it for all the content.
Even though Disney and other companies have recently increased their prices, Eiley at Convergence Research Group believes they can still attract more customers.
Recent data from Convergence Research Group shows a sharp decline in traditional TV subscriptions. At the end of last year, only 36% of U.S. homes still had one, down from over 50% in mid-2022. They predict this number will fall even further, to just 21% of households by the end of 2028.
“There’s still a massive amount of cord cutting going on,” Eiley said.
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2025-10-30 13:34