Netflix has raised the rates for new subscribers, but has given its current subscribers until May 2016 before having to pay more.
As of October 15, watching Netflix in Mexico just became more expensive. Last week the company announced it was increasing its monthly subscription rates for new subscribers but allowing current subscribers a grace period of until May 2016 before their increase kicks in.
Reed Hastings, CEO of Netflix, says it’s all about content and the money needed to secure that content. Hastings says raising the monthly subscription fees will improve Netflix’s ability “to acquire and offer high quality content, which is the number one member request.”
The company said that customers who already use their streaming service will not be affected by the price for a few more months. Their basic package increased from 89 peso to 99 peso per month while their higher standard services increased by 20 peso per month. Subscribers with a Netflix premium plan will see an increase to 159 from 149 peso.
The $9.99 rate, which covers Netflix’s most popular plan, marks the second time the streaming service has upped its cost since 2014. The increase also affects other countries in Latin America as well as Canada and the US.