Well, this is a major bummer for Netflix users.

On Friday (October 30), Netflix raised the prices on both its standard and premium subscription plans. The standard plan is now $14 a month, which means it's up $1 a month from last year. The premium subscription, however, will go up $2 to $18 per month.

There's some good news for Netflix users with a basic subscription package. While the standard and premium subscriptions are going, the basic plan will remain at at $9 per month.

"We understand people have more entertainment choices than ever and we're committed to delivering an even better experience for our members," a spokesperson for Netflix said in a statement. "We're updating our prices so that we can continue to offer more variety of TV shows and films." The spokesperson also added that Netflix offers "a range of plans so that people can pick a price that works best for their budget."

According to a report from CNN, Netflix recently "posted slowing growth in new subscriptions and lower-than-expected profits." As a result, the streaming service will raise prices on existing subscriptions instead of relying on earning new subscribers to increase profit.

During an earnings call last week, Greg Peters, Netflix's chief operating officer, addressed the possibility of raising subscription prices. "The core model we have, and what we think really our responsibility and our job is, is to take the money that our members give us every month and invest that as judiciously and as smartly as we can," he said. "If we do that well... and make that efficiency and effectiveness better, we will deliver more value to our members, and we will occasionally go back and ask those members to pay a little bit more to keep that virtuous cycle of investment and value creation going."

Photo: Netflix

Skip Kelly