Major streaming service hikes prices by 33 percent: 'Time to cancel!'
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Peacock has hiked the price of its streaming service as it looks to boost falling profits.
On Thursday, a $2 a month increase kicks in that takes the price for its standard service - confusingly called ‘Premium’ to $7.99. The annual cost is rising $20 from $59.99 to $79.99.
Both work out as a huge 33 percent price rise.
'Premium Plus' is also up $2 to $13.99 a month and $20 to $139.99 a year.
New subscribers pay the higher prices across all plans from today, and existing ones will see it take effect on August 17.
Peacock is the latest to raise prices as TV streamers seek to turn a profit on businesses that until now have lost money.
Peacock, which has Yellowstone on its service, is putting up prices by $2 a month
They have been willing to spend on big budget shows - but offer cut-price subscriptions - in a bid to lure in customers. But investors now want to see a return.
Peacock, the streaming arm of Comcast's NBCUniversal, is raising prices ahead of the Olympics. The event airs exclusively on NBC and Peacock.
This is Peacock’s second price increase in the past year.
Customers reacted to Paramount's price rise on social media.
‘Time to cancel,’ wrote customer on Reddit.
Another user summed up the view of several people on the site: ‘For $6 this was a 'nice to have' service as someone above summed up perfectly.
‘But from what I hear on this sub it is far from a necessity.’
Some suggested a solution is to cancel and take up one of the promotional offers.
On Reddit, one wrote: ‘There's no reason to pay full price for peacock. They do $20 deals on annual plans throughout the year. I upgrade to ad free so that's getting a little expensive after this.’
As more and more streaming services have flooded the market, companies have had to hike their prices and alter their business models in an attempt to improve profitability.
Peacock's price rises are the latest for customers of streaming services.
At the end of June, it emerged that Paramount+ Essential will rise by $2 to $7.99 for new customers - also a 33 percent price rise. Current customers pay the same.
Spotify announced that the cost of its 'Individual' ad-free premium subscription plan in the US will go up by $1 a month to $11.99
The streamer is also upping the price of the bundle with Showtime by $1 to $12.99 - for both new and existing customers. Prices rises take effect on August 20.
Warner Bros. Discovery raised the price of its ad-free Max subscription for the second time in year.
The $1 price rise to $16.99 a month for the ad-free tier took effect last month for new subscribers.
The 'ultimate' ad-free option, which offers 4k streaming and the ability to run four accounts at the same time, will also be raised by a $1 to $20.99.
Spotify also announced last month that the cost of its Individual ad-free premium subscription plan in the US will go up by $1 a month to $11.99.
