Watching television is going to be a lot more expensive for YouTube TV users in 2025.
Subscribers to the popular streaming service were notified Thursday that their monthly rate will leap from $72.99 to $82.99 in January. That 14% hike constitutes a $120 annual price increase.
An email to subscribers explained that the higher cost is “to keep up with the rising cost of content and the investments we make in the quality of our service.”
YouTube has more than 8 million subscribers and is on pace to be the nation’s largest pay-TV provider by 2026, according to a MoffettNathanson study.
“We don’t make these decisions lightly, and we realize this has an impact on our members,” YouTube acknowledged in its letter to customers.
Customers will see their new, higher price on statements beginning Jan. 13.
Since launching in 2017, YouTube TV has become the fourth largest pay-TV distributor, trailing only Charter, Comcast and DirecTV. The company further explained its pricing increase with a series of statements on social media, where it thanked viewers for being “loyal” subscribers.
If the reaction online in any indication, customer loyalty will be seriously tested by YouTube TV’s significant price spike. One subscriber complained his monthly bill will soon more than double from what it once was. Some who’d cut the cord said they were considering switching back to cable television.
Others expressed hope YouTube would include offerings like YouTube Premium to justify the increase in cost. That service allows users to view videos without commercial interruptions for $13.99 monthly. There were also requests for the streaming service to add baseball to its programming options. YouTube TV and the MLB Network parted ways earlier this year after failing to reach an agreement. Several other providers continue to carry that channel.
YouTube TV advertised that it offers more than 100 channels, unlimited DVR storage and multiple accounts per household.
The streaming giant last raised prices in April 2023 when its basic monthly package rate leapt from $64.99 to $72.99, according to Variety.