Streamers are now reportedly raising prices at a rate higher than cable television ever did during its peak era.
Streaming prices have have rising “three times as much as inflation,” according to data from The Hollywood Reporter (THR), with Apple TV tripling its price from its low launch of $4.99 per month in 2019. Disney+, which launched at a reasonable $6.99 per month in that same year, now offers $11.99 per month for a subscription with ad interruptions. Only HBO Max kept a relatively similar price point to when it first launched in 2020.
Ironically, the cost for all the top-tiered streaming services equals a standard cable subscription.
“Paramount+’s cheapest tier is up 80 percent in five years. Netflix Premium is up 125 percent since 2013,” noted THR. “If you want all eight major streamers without ads or bundle commitments, it’ll cost you about $151 a month. Four years ago, the comparable lineup cost about $90.”
“Apple TV went up 50 percent just in the past year. Peacock’s tiers likewise leapt about 50 percent,” the report added. “Over the course of the past 12 months, streaming rates have collectively risen 11.8 percent. The biggest year of increase was 2023, when the streamers shot up an average of 17.7 percent.”
While cord cutting from cable was initially offered as the economical alternative, data analysis from the Bureau of Labor Statistics show that cable prices rose an annual of 3.9 percent. Since cable only appeals to older generations and now provides specific interests like sports, 24/7 news, live events, and the Hallmark Channel, younger generations have taking to what THR called “Streaming cycling.”
“You subscribe to just one streamer for a month or two, catch up on whatever you want, unsubscribe, then subscribe to another. It’s literally ‘this one simple trick that streamers hate,” noted THR. “Granted, you’ll fall behind on many shows, and won’t be able to participate in watercooler conversations.”