Paramount Global announced during an earnings conference call that the company will raise the monthly subscription price for its rebranded streaming service Paramount+ with Showtime in the third quarter of 2023.
CEO Bob Bakish said We will raise pricing for both Paramount Plus Premium and Essential, both in the United States as well as in select international regions. This will affect both domestic and international markets.
The Chief Financial Officer of Paramount, Naveen Chopra, stated that the business will see payments totaling USD 289 million for the whole year linked to restructuring, merger-related charges, and transformation activities.
This announcement came after the company reported its results for the fourth quarter, which showed that Paramount+ posted strong subscriber gains in the quarter thanks to hit content such as Top Gun: Maverick.
The price of the premium streaming plan that does not include advertisements will increase from USD 9.99 per month for Paramount+ to USD 11.99 per month for Paramount+ with Showtime, while the price of the essential streaming plan that does include advertisements will increase from USD 4.99 per month to USD 5.99 per month.
After the launch of the consolidated service from Paramount and Showtime, these price adjustments will be made applicable to both new and existing consumers.
Further, the firm anticipates that the combination of the two services will result in a decrease in the overall number of subscribers.
Paramount Global CEO Bob Bakish announced in a message at the end of January that the Showtime linear pay-TV channel and the premium tier of Paramount+ would be renamed as Paramount+ with Showtime.
According to the reports, Chris McCarthy taking charge of the Showtime studio and Tom Ryan managing the streaming company.
