Disney will raise prices on several streaming subscriptions, including its flagship ad-free Disney+ plan, Bloomberg News reported on Wednesday, citing people familiar with the matter.
Major streaming platforms have steadily increased subscription prices and rolled out advertising-backed plans as they look to drive revenue growth, offset rising content costs and improve the profitability of their digital businesses.
The monthly price of ad-free Disney+ will rise by $2.50, or 13%, to $21.49, according to the report. Disney is expected to begin notifying customers of the changes as early as Wednesday.
The price of Hulu without advertising will also increase by $2.50 per month, while the monthly cost of an ad-free Disney+ and Hulu bundle will rise by $2 to $21.99, Bloomberg reported.
Disney did not immediately respond to a Reuters request for comment.
The company will also raise the price of standalone ad-supported Disney+ and Hulu subscriptions by 50 cents to $12.49 a month, Bloomberg said. The price of the ad-supported Disney+ and Hulu bundle will remain unchanged at $12.99 per month.
Last week, Disney named Karandeep Anand its first chief technology officer and elevated Adam Smith to lead its streaming business, as the company sharpens its focus on Disney+, Hulu and technology across its entertainment operations.