Paramount+ plans price increases as it hits 56 million subscribers

Paramount Global said it saw its streaming business grow during the fourth quarter, and announced plans to increase prices for Paramount+ this year.

The price increases will take effect when Paramount+ and Showtime combine later this year. CFO Naveen Chopra said Thursday the Paramount+ premium tier, which will include Showtime, will increase to $11.99 from $9.99, while its lower-priced tier, without Showtime content, will increase by $1 to $5.99.

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The price increases and combination with Showtime will take place in the third quarter.

Paramount+ added 9.9 million subscribers during the fourth quarter. In total, Paramount+ reached nearly 56 million customers during the fourth quarter.

While the tough advertising market weighed on Paramount’s earnings, as the company previously warned, the company’s direct-to-consumer streaming business saw an increase of 4%. Advertising revenue fell 5%, a majority of which was attributed to the international market.

Overall, Paramount fourth quarter revenue declined 7% compared with last year, to roughly $5.9 billion, due to the drop in advertising.

This story is developing. Please check back for updates.