Paramount Skydance is signaling a dual strategy: investing heavily in content while raising prices for its Paramount+ streaming service. The company disclosed its plans in a Q3 2025 shareholder letter, noting that the changes are designed to enhance value for consumers while supporting ongoing investments in original programming and acquisitions.
Starting January 15, 2026, U.S. subscribers will see increases across both Paramount+ tiers. The ad-supported Essential plan will rise $1 to $8.99 per month, while the ad-free Premium tier will climb $1 to $13.99 per month. Annual plans also are going up, though they still offer a monthly cost savings: Essential will be $89.99 per year ($7.50/month), and Premium $139.99 per year ($11.67/month).
These increases follow prior hikes in August 2024 and are part of a broader strategy that includes recent announcements of upcoming price adjustments in Canada and Australia.
“These changes will fuel continued reinvestment in the user experience and deliver an even stronger slate of programming for our customers in the year ahead and beyond,” David Ellison wrote in the shareholder letter.
Paramount+ has been bolstering its content portfolio aggressively. Among recent deals is a seven-year, $7.7 billion exclusive rights agreement with UFC. Making Paramount+ the home for the MMA promoter’s events. Ellison also highlighted the company’s five-year, $1.5 billion partnership with “South Park” co-creators Matt Stone and Trey Parker. According to the letter, the series was the top driver of subscriber acquisition in Q3 2025.
Even after the price hikes, Ellison said, Paramount+ remains one of the most competitively priced streaming services in the U.S. Its library includes originals such as Landman and Tulsa Kin and franchises like South Park and Star Trek. Also films including Mission: Impossible and The Naked Gun, CBS staples like Tracker and Survivor, and exclusive sports content including Sunday NFL games and UEFA Champions League coverage.
The price increase comes after Skydance Media completed its $8 billion acquisition of Paramount Global in August. For 2026, Ellison said the company expects to make incremental programming investments exceeding $1.5 billion. This budget covers UFC rights, Paramount+ originals, third-party content licensing, and a planned ramp-up to 15 films annually.
Paramount+ closed September 2025 with 79.1 million subscribers, up from 77.7 million in Q2. Revenue for the streaming service surged 24% year-over-year to $1.04 billion. Contributing to $2.17 billion in total direct-to-consumer revenue for Q3. Adjusted operating income in the pre-close period was $105 million (12% margin) and $235 million (18% margin) post-close.
Beginning in Q4 2025, Paramount Skydance will report only paid Paramount+ subscribers, excluding those on free trials. At the end of Q3, free trial subscribers totaled 1.2 million.
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