HBO Max Increases Prices Across All Subscription Tiers

HBO Max is the latest streamer to hike prices, signaling continued shifts in the competitive landscape of the streaming entertainment industry.

Warner Bros. Discovery (WBD) announced Tuesday an immediate price increase for new subscriptions across its HBO Max tiers. The Basic with Ads plan will see a $1 increase to $10.99 per month. The Standard plan is increasing by $1.50 to $18.49, and the Premium plan will jump $2 to $22.99. This marks the second price adjustment for HBO Max since June 2024.

For existing monthly subscribers, the new pricing will take effect upon their next billing cycle occurring on or after November 20, following a 30-day advance notification.

This price increase arrives amid a period of intense competition and recalibration within the streaming market. The proliferation of streaming options, coupled with increasing content costs, has driven several major players to re-evaluate their pricing strategies. Disney implemented price hikes for its Disney+ plans and bundles last month. Apple increased the price of Apple TV+ by 30% in August, and Netflix instituted its own price increases earlier in the year.

The decision by WBD to raise prices aligns with comments made by CEO David Zaslav in September, where he foreshadowed the potential for price adjustments, alongside a stricter enforcement of password-sharing policies. Zaslav argued that the high quality of WBD’s content across motion pictures, television production, and streaming justifies a price increase, suggesting the service was undervalued. “We think we’re way underpriced,” he stated at the Goldman Sachs Communacopia + Technology Conference.

As of June 30, WBD reported a total of 125.7 million paying subscribers across its streaming services, including HBO Max and legacy linear HBO subscribers with access to the streaming platform. This figure underscores the substantial reach of WBD’s streaming offerings.

The HBO Max price increase coincides with a period of significant strategic transformation for its parent company, WBD. The company announced in June its plan to split into two distinct public entities by 2026. One entity will focus on streaming and studio operations, incorporating movie properties and HBO Max. The other will be a global networks business, encompassing linear channels such as CNN and TNT Sports. This proposed restructuring aims to sharpen the focus and operational efficiency of each business segment.

Furthermore, WBD is currently navigating external interest in a potential acquisition, with companies such as Paramount Global reportedly expressing interest. The company has indicated it is open to considering a sale, reflecting the dynamic and evolving nature of the media landscape. The streaming wars continue to intensify, and established players like WBD must strategically balance subscriber growth, content investment, and pricing to maintain a competitive edge.