Peacock, the popular streaming service owned by NBCUniversal, is raising its prices for the first time since its launch. Starting immediately, new users will have to pay $5.99 per month for a premium subscription, up from $4.99. The premium plus tier, which offers mostly ad-free content, will now cost $11.99 per month, up from $9.99.
In addition to the monthly plans, Peacock is also increasing the prices of its annual subscriptions. The annual subscription for the premium plan will now cost $59.99, a $10 increase, while the premium plus tier will cost $119.99, a $20 increase.
The streaming service informed its subscribers about the price hike through an email on Tuesday. Current subscribers will still be able to enjoy one additional month at the old prices before being charged the higher amount on their next billing cycle.
Peacock has seen significant growth in its subscriber base, reaching nearly 22 million as of April. However, the company has also faced losses of over $700 million due to increasing programming costs. To offset these losses, Peacock has decided to raise its prices.
Notably, Peacock was the only streaming service that had not yet increased its prices. Competitors like Netflix, Paramount+, Disney+, and Max have all raised their subscription fees in recent months. The pressure to make a profit from streaming services is increasing, as investors are now focusing on financial success rather than simply acquiring subscribers.
Peacock offers a diverse content library, boasting around 80,000 hours of content. Popular shows like “The Office” and “New Girl” are available on the platform, as well as 5,000 hours of live sports, including Premiere League football and WWE.
As streaming services continue to evolve and adapt to changing market demands, price hikes have become a common practice. Peacock’s decision to increase its prices reflects the growing need to balance the cost of content and financial sustainability in the highly competitive streaming industry.