Feb 16 Reuters Paramount Global Inc said on Thursday it would raise prices of its flagship streaming service in some markets after reporting a lowerthanexpected quarterly revenue, as a broader slump in the advertising market hit the CBS network owner.

Shares in the company fell 7 before the bell. The stock has gained about 45 since the start of 2023 to Wednesday39;s close.

Rising prices, higher borrowing costs, easing consumer demand across products and services, and geopolitical unrest in certain regions have forced companies to pull back on advertising spending.

TV advertising revenue fell 7 in the three months to December, despite a lift from political advertising on the back of U.S. midterm elections in November.

Paramount added a record 9.9 million subscribers, partly due to the streaming release of hit film Top Gun Maverick, as the business cushions the company in the face of increased cordcutting.

The company last month said it would integrate Showtime, known for popular shows, including Billions, Yellowjackets and Dexter, with Paramount across platforms later this year as it prioritizes streaming services.

Chief Executive Bob Bakish said the company plans to raise prices for its Paramount Premium and Essential tiers this year in the United States and in some nonU.S. markets.

The company said it will rise to 11.99 per month from 9.99 for the tier that includes Showtime, and to 5.99 from 4.99 for the tier that does not include Showtime.

Total revenue rose 2…