Netflix is beginning the year with another rise in subscription costs.

This latest adjustment marks Netflix’s first price increase in the U.S. since October 2023, and it comes after the company announced an impressive addition of 19 million new subscribers last quarter, bringing the total to 302 million members. Their revenue has also seen a 16% increase compared to last year.

In a letter to shareholders on Tuesday, the company explained that these price increases—affecting most subscription plans in the U.S., Canada, Portugal, and Argentina—will help finance further improvements to Netflix’s offerings.

Co-CEO Greg Peters noted during a Tuesday earnings call, “We pay attention to indicators such as engagement, retention, acquisition, and other secondary signals. These help us determine when we’ve provided more value to our subscribers. Once we achieve that, we ask them to contribute a bit more to maintain that positive cycle.”

The new subscription prices for Netflix in 2025 include:

• The ad-supported plan now costs $7.99 per month, increased from $6.99.
• The standard ad-free plan is now $17.99 per month, a bump from $15.49.
• The premium plan is set at $24.99 per month, up from $22.99.

Netflix will start informing its members about the price adjustments through email on Tuesday, with changes taking effect in the next billing cycle. New subscribers will see the updated rates immediately, as noted by Netflix spokesperson MoMo Zhou.

Additionally, Netflix mentioned the introduction of a new “Extra Member with Ads” option in 10 countries. According to the company’s website, standard and premium subscribers in the U.S. will have the ability to add extra members from outside their household for an additional $6.99 per month with ads. Without ads, the fee will be $8.99 per month, an increase from the previous $7.99.