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Category: news    |      January 23, 2019  >  9 minutes ago    |    View: 1

What just happened? Netflix customers that are unhappy about the recent rate hikes may be interested in jumping ship to Hulu. To entice disgruntled subscribers, Hulu is lowering the cost of its base package by $2 per month but could make up the loss on more expensive tiers.

Netflix last week announced plans to increase rates by as much as 18 percent to help cover climbing costs associated with original content production. On Wednesday, one competitor responded by revealing new pricing options of its own.

Starting next month, Hulu’s ad-supported option will go from $7.99 per month to $5.99. The company’s ad-free plan will remain unchanged at $11.99 per month.

Netflix increased the price of its base package from $7.99 to $8.99 and bumped the cost of its standard package from $10.99 to $12.99. Its premium tier also went up, from $13.99 to $15.99 per month.

Hulu, looking to make up the potential losses elsewhere, is conversely increasing the cost of its Hulu + Live TV service from $39.99 to $44.99 a month. The $5 hike would cover the loss from 2.5 base package users.

Hulu’s new pricing options go into effect on February 26 for new subscribers. Existing members will see the changes reflected in their subsequent billing cycle after this date.

Image courtesy Budiman B Daud via Shutterstock

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source: Techspot
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