Netflix just announced in a letter to shareholders that the company is increasing the subscription prices, The Verge reported.

There were rumors that the streaming company already planned a price hike after the SAG-AFTRA strike ends. Instead of waiting, likely because of the stalled negotiations, Netflix has decided to move forward with the increases, according to CBR.

In the letter to the shareholders, Netflix stated that it has exceeded its expected growth for the 2023 third quarter. The company credits this growth to the password-sharing crackdown in February and the $6.99 ad-supported subscription offer.

The letter stated, “As we deliver more value to our members, we occasionally ask them to pay a bit more. Our starting price is extremely competitive with other streamers and at $6.99 per month in the US, for example, it’s much less than the average price of a single movie ticket.”

Netflix said that the cheapest plan constituted 30% of its new sign-ups across various territories where the subscription is offered. The company also claimed to have gained additional 8.76 million new subscribers, now totaling 247.15 million worldwide.

The $9.99 monthly Basic plan will go up to $11.99, and the $19.99 monthly Premium will increase to $22.99. The ad-supported $6.99 and Standard $15.49 plans will remain unchanged for now.

While the company faced criticisms regarding the previous price hikes, it still maintains its subscriber base. It recently announced new content in its Geeked Week '23 trailer.

The hit animated movie Spider-Man: Across the Spider-Verse will be available to stream on the platform on Oct. 31. Following that is the reality show Squid Game: The Challenge and the highly anticipated animated series Scott Pilgrim Takes Off in November.