Netflix Officially Announces $1 Price Hike For Domestic Subscribers

Netflix NFLX has officially raised its monthly streaming video fee from $7.99 to $8.99.

Existing customers will be grandfathered into the old price for two years.

New customers can now sign up for an SD (standard definition) plan that costs $7.99 per month, but they'll have to pay the extra dollar if they want to stream in high definition.

"We look forward to bringing our members more great movies and TV shows, including acclaimed Netflix original series like House of Cards and Orange is the New Black," Netflix wrote on its official blog. "We will continue to make Netflix the best possible place to enjoy entertainment across all the devices our members own -- from Smart TVs to mobile phones."

Related: Netflix CEO Reed Hastings "Learned His Lesson" After First Price Hike

Earlier today Netflix announced that it had raised the price of its service in the United Kingdom to £6.99 per month (up from £5.99). New European customers will pay €8.99 (up from €7.99). The fee will not affect current subscribers from either region for two years.

Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.