Streaming service Max is set to raise its subscription costs in an attempt to improve Warner Bros.’ financial performance in the coming years, according to a new report in Bloomberg.
While Warner Bros. has not confirmed the news, Bloomberg cites “people with knowledge of the matter”, claiming that Warner Bros. Discovery CEO David Zaslav has “ordered” executives to find potential cost-cutting measures – despite the company having laid off over 2,000 people in the past year already.
Max has had a rough year when it comes to subscribers, losing around two million during its botched rebrand last year, which ditched the brand recognition of ‘HBO Max’ for a far more nondescript name. And the prospect of Max price rises was also raised last year. But it sounds like price hikes and further layoffs might be possible in the months ahead – and that's on top of Max joining a bundle with Disney Plus and Hulu later this year to help boost subscriber numbers.
Warner Bros. Discovery did provide Bloomberg with the following statement: “The company is focused on the long-term growth of the business overall, including Max, which has been a priority across WBD to expand the original content offerings for our streaming audiences including news originals from CNN, March Madness and NBA Finals from sports, local language content from international, and a new distribution deal with A24.”
Max profit
Max’s cheapest ad-supported plan starts at $9.99 per month, rising to $15.99 for ad-free viewing across two devices, and $19.99 per month for 4K streams across four simultaneous screens. It’s currently unclear what those plans might cost after the claimed increase.
These prices are broadly on par with other leading streamers, though streaming service customers have seen price hikes across the board in recent months.
Netflix cracked down on password sharing in order to monetise add-on users, and upped prices in late 2023, with more increases likely to come this year – while Disney also increased its prices for 4K streaming. And across the board, ads are creeping back into our once-safe streaming services, sometimes for cheaper ad-supported plans but often just as a way to milk existing subscribers a little further – yes, Prime Video, we're looking at you.
As Tom’s Guide reports, Warner Bros. has an earnings call on May 9, and price increases could be coming very shortly. Maybe get through your watchlist of the best Max movies and best Max shows just in case the bill is a little too steep for your tastes in the future.
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