Another month, another increase in the price of streaming. HBO Max is raising prices at all tiers, the latest instance of subscription prices drifting upward even as viewers are weighing more services and looking for cuts.
The change is simple but painful: Monthly plans are going up by $1 to $2, and annual plans will cost $10 to $20 more. The higher rates are already live for new sign-ups and will affect existing users on their next billing cycle after receiving notification.
This isn’t the platform’s first increase and probably won’t be its last. Once offered as a more affordable and more flexible alternative to cable, streaming has moved into a predictable cycle of modest increases as companies pursue profitability.
What the new HBO Max price increases mean for you
Altogether, on HBO Max’s slate, the math quickly makes sense. That $2 upcharge on an ad-free tier means an additional $24 per year if you pay monthly. Annual subscribers, who will now experience price hikes of $10 to $20, have that upfront savings edge reduced over the month-to-month plan. For a household stacking three or more services, $1 hikes across the board can quietly add $36 to $72 a year to the cost of entertainment.
Current subscribers will see the new price after their next renewal, once email or in-app notice has been given. If you are on an annual plan, keep your eye on the renewal amount; if you’re monthly, an easy glance at your next invoice can spare a nasty shock.
Why streaming subscription costs keep rising over time
There are no secrets about the core drivers: content, sports rights and profitability. Warner Bros. Discovery, which manages HBO Max, has said it is focused on boosting streaming margins and paring losses — goals that are echoed across the industry by companies including Disney and Comcast’s NBCUniversal. It’s not going to get cheaper for premium originals and live rights, while platform technology, global distribution and customer care also inflate the bill.
The answer is ad-supported tiers.
Industry data on firms like Antenna, a technology company that provides anonymous user monitoring data to the streaming industry, showed ad tiers capturing larger shares of new sign-ups as services trade lower subscription prices for advertising revenue and higher average revenue per user. Crackdowns on password sharing and a pivot to bundles are designed to stabilize churn while nudging ARPU up. That is, the model now depends on both subscription dollars and ad sales rather than only one.
How competing streamers are raising prices in tandem
HBO Max is not making the move on its own. Rivals have also enacted their own price hikes across ad-supported and ad-free plans, among them Netflix, Disney Plus, Peacock and Apple TV Plus. With every passing step, it seems to be pushing the ceiling on what consumers will put up with and composing a race to respectability rather than settle at the lowest price.
Consumer behavior reflects the pressure. According to Deloitte’s Digital Media Trends research, on average, households have four or more subscriptions and many are likely to cancel in response to cost. Antenna’s monthly churn rates have clocked in at the mid-single digits, indicating a marketplace where users are rotating services in and out. Kantar’s Entertainment on Demand research also suggests that the “subscription stacking” trend is beginning to plateau, as budget constraints take effect.
Practical steps subscribers can take to save money now
- Revisit your lineup. If you mostly binge on one show at a time, rotate services rather than subscribing year-round.
- Consider switching to an ad-supported tier; commercials are the trade-off here, but the savings could make up for a couple of price hikes. If you prefer annual plans, recalculate whether the new upfront price beats paying monthly by how often you actually watch.
- Look for bundles. Wireless providers and broadband companies will sometimes offer HBO Max or rival platforms at a discount. Student and promotional limited-time offers can also dull the effect. Schedule renewal dates in your calendar and audit your subscriptions quarterly — a few small, forgotten charges can pile up quicker than you realize.
What to expect next as streaming prices continue rising
Look for more of the same: firmer prices, wider ad tiers, stricter account rules, and new bundles that are basically old channel packs — but composed of apps instead.
As rights costs and production budgets remain sky high, the value proposition of streaming becomes not “cheaper than cable” but “pay what you watch.” For the audience, that means being selective. For HBO Max, it’s a bet that there is enough room for one more step up the price ladder in exchange for a deeper library and marquee originals.