In a move that’s sure to be watched closely by pay TV operators, Netflix is noodling once again with its programming packages.
According to the Italian blog TuttoAndroid.net, Netflix is floating the idea of a $16.99 tier, branded “Ultra,” that would include UltraHD and High Dynamic Range (HDR) programming.
Netflix already offers UltraHD and HDR in its $13.99 “Premium” tier. But the company’s strategy would apparently be to build Ultra by downgrading the slightly less expensive Premium.
Under one reported configuration, Premium would be downgraded from four concurrent streams to two—those who want four would have to pony up an additional $3 a month.
Under another scenario, Ultra and Premium accounts would both enable four simultaneous streams, but only Ultra users would gain access to HDR.
According to Variety, Netflix has confirmed its testing of Ultra.
Netflix last raised prices in the fourth quarter of last year, upping the price of its two-stream HD tier by $1 to $10 a month. Premium, meanwhile, went from $11.99 a month to $13.99, while the standard definition Basic tier was unchanged at $7.99 a month.
With a fast-rising global subscription count and market cap, Netflix remains the most closely watched company in the video business, driving the current M&A wave as incumbent media companies look to compete with the streaming giant on a worldwide basis.