Paramount+ to raise prices for its streaming services.

• Paramount Global will raise the price of its flagship streaming service, Paramount+.
• The Showtime option will increase by $1 a month, while the essential Paramount+ plan will rise by $2.
• The company's leadership trio is restructuring the company after its latest merger opportunity with Skydance was halted, resulting in an increase in prices.

The company is raising the price of its flagship streaming service in an attempt to improve its financial performance.

On Monday, the company announced that the price of the Paramount+ with Showtime plan will increase by $1 to $12.99 per month, while the Paramount+ Essential option will cost $2 more at $7.99 per month for new subscribers.

Both new and existing Paramount+ with Showtime customers will experience a price increase on Aug. 20 and Sept. 20, respectively, while existing Paramount+ Essential customers won't be affected.

The limited Paramount+ commercial option will increase in price by $1 to $7.99 for current customers.

Paramount executives have publicly stated that they see opportunities to increase the price of streaming services as more media companies raise their streaming prices to make a profit.

Peacock, owned by NBCUniversal, will increase its prices in July, prior to the Summer Olympics, which will be exclusively aired on NBC and Peacock. This marks Peacock's second price hike in the past year.

This month, Warner Bros. Discovery revealed that it would raise the price of its Max streaming service.

Last year, Paramount combined the Showtime and Paramount+ platforms to streamline content spending, with a focus on media companies. Additionally, the company raised the prices of Paramount+ towards the end of the year.

In April, Paramount announced that it had gained 3.7 million Paramount+ subscribers, resulting in a total of 71 million subscribers. Despite this, the company, like its media peers, incurred losses related to its streaming service. Paramount's losses narrowed to $286 million compared to $511 million during the same quarter the previous year.

After National Amusements stopped discussions with Skydance on a proposed merger with Paramount earlier this month, the price increase was announced. National Amusements, owned by Shari Redstone, had previously agreed to economic terms of a merger with a consortium including David Ellison's Skydance before ending the deal talks.

The "Office of the CEO" is now headed by three leaders: CBS CEO George Cheeks, Paramount Media Networks CEO Chris McCarthy, and Paramount Pictures CEO Brian Robbins.

At Paramount's annual shareholder meeting, the three leaders presented their plan to revive the company in case the Skydance deal fell through.

Paramount's strategic priorities aimed at reducing debt involved exploring joint venture streaming opportunities with other media companies, cutting $500 million in costs, and divesting noncore assets.

The group announced that they would reveal more details about their plans during Paramount's earnings report in August.

— Disclosure: Comcast is the parent company of NBCUniversal and CNBC.