HBO Max Raises Subscription Prices by Up to $20 Today
Warner Bros. Discovery announced today that HBO Max will see subscription price increases of up to 10 percent. The updates affect all tier options, moving the ad-supported plan from $10 to $11 per month. Additionally, the ad-free plan will rise from $17 to $18.49 monthly. The premium ad-free option, which offers 4K streaming, Dolby Atmos, and extra download capabilities, will increase from $21 to $23.
Annual Plan Increases
The changes will also impact HBO Max’s annual subscription plans. Prices for these will change as follows:
- Ad-supported annual plan: increased from $100 to $110
- Ad-free annual plan: increased from $170 to $185
- Premium ad-free annual plan: increased from $210 to $230
Current subscribers will experience the new pricing beginning on November 20, while new subscribers must adhere to the updated rates immediately.
CEO’s Insight & Market Trends
David Zaslav, CEO of Warner Bros. Discovery, indicated last month that HBO Max has been “way underpriced.” He shared this view during the Goldman Sachs Cornucopia + Technology conference, highlighting the service’s quality and contrasting current pricing with the average spending of $55 for content ten years ago.
This price increase is not unprecedented; HBO Max previously raised its subscription fees in June 2024 and in January 2023. Since its launch in May 2020, the platform has adjusted pricing in response to market demands. Other streaming services like Disney+, Apple TV, and Peacock have also recently increased their subscription fees.
The Future of Streaming
As HBO Max navigates the challenges of creating a diverse and robust content library, the company argues that streaming services must reflect the value of their offerings. WBD CFO Gunnar Weidenfels reiterated this sentiment at a Citibank conference, stating, “collapsing seven media distribution windows into one and selling it at the lowest possible price doesn’t sound like a very smart strategy.”
