Netflix is raising its prices starting this month

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Beginning on October 19 Netflix will alert users to the new prices, and all users will be given 30 days notice before their next billing date. He said that "2017 was really the first time we've seen the percentage of households subscribing to two or more services outnumbering the households subscribing to a single service".

Netflix on Thursday said it is bumping up subscription prices in the U.S. and parts of Europe as the leading online streaming service invests in more shows and features.

The price for another plan that includes ultra-high definition, or 4K, video, is going up by 17 percent, to $14 from $12 a month.

When the bulk of that process happened a year ago, media and public chatter rose to such a degree that Netflix blamed it for a missed quarter of subscriber growth. Netflix said the price change will "roll out to members over the course of the next several months". Netflix introduced a new $7.99 non-HD option for folks who wanted to save money.

But paying for exclusive TV series and films hasn't been cheap.

People may not like them, but price increases will likely continue to be necessary as Netflix spends more and more on content - close to $7 billion next year, according to its content boss Ted Sarandos.

Netflix believes its price rate is justified by recent service improvements, such as a feature that allows people to download shows onto phones or other devices to watch them offline.

Shares of the Silicon Valley-based company jumped more than four percent to $192.44 (R 2633.76) in trading following news of the relatively small price hike. One way to do that is by fleshing out its service, adding content and features, and then charging more in exchange - which appears to be exactly what Netflix is doing. But the most popular, "standard plan", which allows HD and two simultaneous streams, will go up from $9.99 to $10.99 per month.

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