Netflix Cuts Subscription Prices in a Host of Countries — But Not in the U.S. The streaming giant is also preparing a password-sharing crackdown, set to begin in March.
By Gabrielle Bienasz •
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Netflix has cut the price of its subscriptions in a host of countries, according to Bloomberg.
But not in the U.S.
"We're always exploring ways to improve our members' experience... "We can confirm that we are updating the pricing of our plans in certain countries," the company said on Thursday, per the outlet.
The price change affects places where Netflix doesn't have a ton of subscribers and will impact a total of some 10 million customers, per Bloomberg. Netflix finished out 2022 with around 230 million subscribers around the world.
According to the Wall Street Journal, the price cuts will affect countries including Jordan, Libya, Iran, and other countries in the Middle East, as well as Kenya, Croatia, and Bulgaria, and some Latin American countries, such as Nicaragua and Ecuador, per the outlet.
Netflix had a rocky 2022, as it faced subscriber losses in the first portion of the year and layoffs. It finally caved after years of resistance and added a cheaper, advertising-supported tier. However, the company did post subscriber jumps in its most recently reported two quarters — and it's also entered a new era, as its co-CEO and co-founder Reed Hastings announced he would step down in January.
Related: Netflix CEO and Co-Founder Reed Hastings Stepping Down: 'Even Founders Need To Evolve'
This bucks the price increase trend that other streaming services have been incurring as of late. Hulu's price increased in October, and HBO had its first price increase in January.
"It definitely goes against the recent trends not just for Netflix, but for the broader streaming industry," said John Hodulik, a media and telecom analyst at UBS Group AG, per the WSJ.
"Some of these cuts on a percentage basis are substantial," he added.
The price decreases could be as much as 50% in some markets, as Bloomberg noted. The streaming giant is also planning its long-awaited password-sharing crackdown.
Per the company's most recently dropped rules, the pilot crackdown will begin in Canada, New Zealand, Portugal, and Spain.
People will have to add "subaccounts" for those who are using the accounts outside their households and pay an extra $7.99 in Canadian dollars a month for them ($5.86 USD). If a sub-user wants to break off and begin their own account instead, the streamer will allow people to import their profiles per CNBC.
Related: All the Details of the Netflix Password-Sharing Update Nobody Wanted
