Comcast’s Peacock, a contender in the streaming wars, will see a $2 increase in subscription prices starting this summer. This move by Comcast’s NBCUniversal aims to take advantage of the upcoming Summer Olympics in Paris, which will be broadcasted on NBC’s TV networks as well as its streaming platform.
The ad-supported option on Peacock will increase to $7.99 per month, while the ad-free offering will also rise by $2 to $13.99 per month. For annual subscribers, the ad-supported version will be priced at $79.99, and the ad-free version at $139.99.
Peacock Subscription Prices increase
New subscribers will experience the price hike beginning July 18, while existing customers will see the new pricing applied on or after Aug. 17, coinciding with the start of the Summer Olympics in late July.
Streaming companies have been exploring ways to turn a profit in the streaming landscape, which often operates at a loss. Advertising and periodic price adjustments have been key strategies in this endeavor.
This marks Peacock’s second price increase in the past year. Last August, the ad-supported option increased by $1 to $5.99, and the ad-free option went up by $2 to $11.99 per month.
While Comcast has highlighted Peacock as a success during recent earnings calls, losses from the streaming service have impacted overall earnings. Losses were reported to have peaked in 2023, with executives anticipating a narrowing of losses in the upcoming quarters. Currently, Peacock boasts 34 million subscribers.
Peacock offers a diverse range of live sports content, including NFL and Premier League games, often experiencing an increase in subscribers during major sporting events.
The streaming service was launched in 2020 in anticipation of the Summer Olympics in Tokyo, which were postponed to 2021 due to the pandemic.
During a recent earnings call, executives mentioned that Peacock’s exclusive broadcast of an NFL Wild Card game in the first quarter exceeded expectations in terms of customer acquisition and retention.
Peacock has also benefited from being the exclusive streaming home for Universal Pictures’ critically acclaimed and commercially successful film “Oppenheimer.”
Revenue for Peacock surged by 54% to $1.1 billion in the first quarter compared to the same period last year, largely attributed to increased advertising revenue, which has been lagging for traditional TV networks.
Executives anticipate that the Summer Olympics will generate record advertising revenue, as more events will be aired on the NBC broadcast network in addition to exclusive streaming on Peacock.
