Netflix is raising their rates by $1 a month for new subscribers, however current US subscribers will not see the increase for 2 years.

The new price for the highly popular streaming video plan is $8.99 per month. The price for customers to receive DVDs in the mail will remain unchanged at $7.99 per month.

Netflix warned of a rate increase on April 21st, so as to avoid the mass exodus that occurred in June 2011 when some subscriber’s rates increased as much as 60%. That time, they lost over 800,000 subscribers and their stock plummeted by 80% as investors panicked.

However, this price hike is seen as relatively minor considering the growing popularity and demand for their streaming service.

One of Netflix’s major draws is their original programming, such as the Emmy Award-winning drama House of Cards and the acclaimed Orange is the New Black. They plan on bringing even more such exclusive shows to their customers in the near future.

Netflix also offers high definition programming and allows programs to be watched on two separate screens. So, two people sharing a subscription may watch different shows on different devices simultaneously.

Currently, Netflix has just under 36 million customers in the US and just under 13 million in Europe, Canada and Latin America (combined.)

Will this price hike cause you to quit Netflix?

Or, if not currently a subscriber, cause you not to join?

Please leave your comments below.