As consumers are grappling with inflation, trying to cut down on non-essential spending, Apple served its customers another tough pill to swallow. As 9to5Mac first reported, the company is raising the prices of Apple TV+ and Apple Music and Apple One, citing an increase in licensing costs and the quality of its services as reasons behind the move. Effective immediately, each of the aforementioned services will see its monthly price increase by $1 to $3 per month, with annual subscription prices rising accordingly.
Apple’s decision to raise its streaming prices comes just a few months after market leader Netflix and Disney took similar steps. In January, Netflix had announced the second price increase in less than two years, bringing the price of its standard plan to $15.49 per month. Disney will raise the price of its standard Disney+ subscription to $10.99 in December. The latest round of price increases comes at an unpleasant time for consumers, who now face some tough choices when it comes to their entertainment budgets. According to data published by Nielsen earlier this year, almost sixty percent of U.S. streaming subscribers now have three or more video subscriptions at the same time, a luxury that some may no longer be able or willing to afford.
According to recent findings from Statista’s Global Consumer Survey, two thirds of U.S. adults said they would cut back on subscriptions to save money in times of high inflation, and price increases could do their part in forcing people’s hands. The following chart provides an overview of the prices and latest price increases in the U.S. streaming landscape.