“I hate Fubo. They killed Venu so that they could raise prices?!?! Never will they see my [money] again,” a Reddit user wrote on the FuboTV subreddit this week.
When asked for comment on customer gripes, Jennifer Press, Fubo’s communications SVP, attributed the price hikes to “rising costs from our programming partners.” She added that Fubo “only makes adjustments when necessary” while noting discounts for new customers.
The company’s new pricing and potential merger come as it has never turned a profit since its January 2015 launch. In its fiscal Q3 2024 earnings report released in November, Fubo reported a net loss of $54.7 million, down from $84.4 million in Q3 2023.
Netflix
Last week, Netflix raised subscription prices by as much as 16 percent, depending on the plan. The new monthly prices took effect immediately and sent the cheapest ad-free plan (Standard) from $15.50 to $18, the Premium ad-free tier from $23 to $25, and the Standard With Ads plans from $7 to $8.
While announcing higher prices, Netflix also unveiled its largest quarterly subscriber gain ever, with 18.91 million people subscribing for a total of 301.63 million. eMarketer predicts Netflix will make $17.12 billion in US subscription revenues in 2025. But for Netflix, that isn’t enough.
Netflix attributed its first price increase since 2023 to programming costs. Netflix CFO Spencer Neumann told investors that it will increase content spending from $17 billion in 2024 to $18 billion, emphasizing “big, scripted TV series,” live events, and original programming, while growing “impactful licensing opportunities.”
Further, the price hikes favor those willing to subscribe to Netflix with commercials, as the ad-free Standard plan got the biggest price bump. Netflix plans on doubling its 2024 ad revenue in 2025, and these new prices should help those efforts.
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