Why Is Sling TV Raising Its Prices Again?

Sling has been one of the most popular streaming services for the last few years thanks to its broad selection of channels and highly competitive prices.

But in late January 2021, the company announced it would be increasing the cost of both its subscription packages and its add-ons.

So, why did the prices rise in the first place, and are we likely to see more hikes in the coming months? Keep reading to find out.

How Much Does Sling Cost Now?

For those who don’t know, Sling offers two different packages: Sling Blue and Sling Orange.

Each package offers a different selection of channels. For example, channels such as ESPN and Disney are only available on Orange, whereas FOX News, MSNBC, and NFL Network are only on Blue. You can buy the two packages in a bundle if you want access to everything.

Prior to the Sling price hike in January 2021, both services cost $30. They are now $35. The bundled package has also gone up by $5 (from $45 to $50). The sports add-on has gone up from $10 to $11, and all other add-ons have risen from $5 to $6.

New subscribers will have to pay the new rates immediately; existing users will get a grace period until July 2021 due to Sling’s one-year price guarantee.

Why Did Sling Increase Its Prices?

Sling has been quick to blame the price increase on the TV networks. When the hike was announced, the Sling TV group president Michael Schwimmer wasted no time in letting his customers know who they should direct their ire towards in a press release:

Unfortunately, we are forced to raise prices because the television networks keep charging us more, but we fight hard to get the best deal for our customers. The proof of our commitment is apparent, as Sling TV is still the best deal in the market, keeping our prices much lower than cable and other live streaming services. Sling TV customers can rest assured that we’ll continue to offer the best combination of live news, sports and entertainment cable channels at the best value.

Although some people might think Schwimmer and Sling are putting up a smokescreen to hide their true motives for the price increase from their customers, the hike is in line with price increases that we have seen elsewhere in the streaming industry over the last few months.

For example, Hulu + Live TV and YouTube TV both increased their prices in late 2020. YouTube TV went from $50 to $65 and Hulu went from $55 to $65.

In Hulu’s case, we have now seen the price go up from $40 in January 2019 to $65 just two years later. That’s an increase of more than 50%.

Are TV Networks Really to Blame?

Obviously, we don’t know exactly how much Sling is paying the TV networks to be able to make them available on its platform.

However, if you compare the price increases at Sling et al. with the price increases at services that only provide on-demand video, such as Netflix, the difference is stark.

Indeed, since Netflix launched its entry-level plan in May 2014, we’ve seen just a single price increase from $8/month to $9/month. That’s much lower than the price rises at Sling in both dollar and percentage terms. Yes, the more expensive plans have seen greater jumps, but they have had extra features added to them along the way.

These discrepancies between TV streaming services and video-on-demand services seem to suggest that TV networks are indeed to blame.

Related: Disney+ vs. Netflix: Which Offers the Best Value for Money?

Sling Is Still Cheaper Than Cable

No one likes to see their bills increase. But considering the price gouging that we’ve seen in the cable TV world for the last decade (the average price of a cable bill in the US is now more than $200), it’s hard to begrudge Sling a small increase.

The service it provides is still excellent. In comparison with other ways to watch TV, it still represents excellent value for money.

Source: makeuseof.com

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