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How High Can Netflix Raise Prices?
With news out this week that AT&T’s streaming service will cost $16-$17 a month, investors have to be asking themselves: how high could Netflix raise prices before they lose subscribers? Why should they be asking that? Because the answer will determine where the stock price will be in 3-5 years. As they’ve transitioned to spending more and more on original content (now the biggest spender in the world), the video streaming pioneer has been able to raise prices around 5% per y