Netflix has dealt with the crisis period it faced in recent years and seems to be on the path to stability. However, this has come at the cost of controversial decisions that infuriate subscribers, and 2024 will be no different, as the company shared two pieces of news that won't please its audience.
Netflix to Eliminate This Subscription Plan
During an investor briefing (via The Verge), Greg Peters, co-CEO of Netflix, announced that one of their decisions for this year is the elimination of the standard subscription plan. In some markets, the service offers three plans: ad-supported standard, standard, and premium. According to the executive, the removal of the standard plan will first take place in the United States and then expand to Canada and the UK, although he did not reveal what will happen in the rest of the world.
This means that there will be no middle ground subscription on Netflix. The two options will be the ad-supported standard plan or the premium plan. In the Mexican market, the first one costs $99 MXN per month, and the second one $299 MXN.
Regarding this, Greg Peters mentioned that after the launch of the ad-supported standard plan, it grew significantly to reach 40% of the total subscriptions on the platform. Hence, the decision was made to eliminate the standard plan without commercials, putting users in a dilemma of spending less in exchange for ads or spending more to avoid them.
Will Netflix Raise Prices in 2024? It Seems So
As if this were not enough, during the meeting, the Netflix representative hinted (via Discussing Fil in X) that a new price increase is on the way: "as we invest and improve Netflix, occasionally we ask our members to pay a little more to reflect those improvements."
This news comes after the big announcement made earlier where Netflix and WWE announced a 10-year, $5 billion deal for the streaming of Raw, SmackDown, NXT, and the company's flagship events such as WrestleMania, SummerSlam, and Royal Rumble.
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