Disney+ and Hulu now cost more than $20 a month without ads

By Liam Reilly, CNN

(CNN) — Disney is again raising prices for several streaming subscription tiers, pushing the cost of its ad-free Disney+ and Hulu plans past $20.

Disney+ and Hulu’s Premium standalone plans will rise $2.50 to $21.49 each per month, effective immediately for new subscribers, a source familiar with the matter told CNN. Existing subscribers will be notified of the change on Wednesday, and the higher price will take effect next month, based on their billing cycles.

The ad-free Disney+ and Hulu bundle will rise $2 to $21.99 per month, the source said. Meanwhile, Disney’s ad-supported standalone plans will increase by $0.50, to $12.49 each per month, though the ad-supported Disney+ and Hulu bundle will remain unchanged at $12.99.

That means subscribers can get both services for just 50 cents more per month than either streamer alone, with or without ads.

At $21.49 per month, Disney+ Premium, which includes 4K streaming, will cost less than rival Netflix’s $26.99 Premium plan and HBO Max’s $22.99 Premium plan, but more than Paramount+’s $13.99-per-month Premium plan.

The $12.49 ad-supported Disney+ and Hulu plans will each cost $3.50 more per month than ad-supported options from Netflix and Paramount+, and $1.50 more than HBO Max’s.

The price increases come as Disney prepares to roll out what it calls a “one-app experience” later this year. Bloomberg first reported the price hikes on Wednesday.

Disney reported that revenue from Disney+ and Hulu increased 11% year over year to $5.53 billion in its fiscal third quarter. Both Disney and Netflix have stopped regularly reporting quarterly subscriber counts.

Disney CEO Josh D’Amaro said during an investor call last month that the company is “exploring a free product for consumers.” The company said Wednesday it had no update to share on a possible free offering.

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