Skydance Media Poised to Transform Entertainment Landscape with Paramount+ & Pluto TV Acquisition

New Prices for Paramount+ Coming Soon

Heads up, Paramount+ fans! Get ready to dig a little deeper into your wallets later this year. The streaming giant just announced another price hike. Starting August 20, 2024, new customers will see the cost of Paramount+ with Showtime jump up by $1 a month to $12.99, while Paramount+ Essentials will get a $2 bump to $7.99. And if you’re already a subscriber, brace yourselves – your bill’s going up after September 20.

Why the Price Hike?

Remember last year when ex-CEO Bob Bakish hinted at this? Well, the prophecy has come true. At the Goldman Sachs Communacopia + Technology conference, Bakish said, “Our plan is to raise prices again – this isn’t our only price increase.” He even teased, “Whether we do that in ’25 or ’24, we’ll see.” Well, Bob, we see it now.

This isn’t the first time Paramount+ has upped its prices. Just before its June 2023 launch, the service went from $9.99 to $11.99 a month. Did that slow down subscriber growth? Nope. Bakish boasts, “We have pricing power in the marketplace, given the content we’re bringing to bear on the platform.” Basically, they know you’re hooked.

The Bigger Picture

But let’s talk about the bigger picture. Streaming prices are climbing across the board, even as more of us are eyeing those free, ad-supported options like Pluto TV (also owned by Paramount) and Tubi. Warner Bros. Discovery CEO David Zaslav chimed in with similar sentiments, arguing that premium content is still relatively cheap. Oh, really, David?

Showtime’s Goldmine Content

And don’t forget the goldmine of content on Showtime – think Yellowjackets, Shameless, Dexter. With the Showtime app shutting down at the end of the year, Paramount+ with Showtime is your go-to for these fan-favorites. Watch through pay TV services or stream to your heart’s content.

“There’s a lot of room to run here,” Bakish says, flexing Paramount’s muscle on setting prices.

“We have co-marketing agreements with every major distributor for streaming products,” he adds. “It gives them an incentive to transition and ride that migration in consumer behavior.” Sounds like a fancy way of saying, “We’re in this for the long haul, and you’re coming with us.”