MoviePass limits users to 3 movies a month

MoviePass

The company says that since only about 15 percent of its subscribers see four or more movies a month, this restriction is unlikely to have an impact on a vast majority of them.

Previously, subscribers could see up to one movie per day.

Of late, MoviePass has been in the news for all the wrong reasons after it announced that it will be increasing its subscription prices and add surge pricing for popular movie tickets.

Struggling movie subscription service MoviePass will limit customers to three movies per month as the company tries to stay in business by burning through less cash.

The change is part of a new model MoviePass hopes will "ensure long-term stability".

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While the movie service will no longer move forward with the proposed plan of a price hike - keeping the subscription at its monthly rate of $9.95 - the company revealed that subscribers can see a maximum of three movies per month. Last week, MoviePass announced subscribers would be limited to certain blockbuster film within the first two weeks of release. Annual subscribers will not shift over to the new plan until their subscriptions go up for renewal.

Under the revised policy, set to begin on August 15, the $9.95 a month fee remains unchanged but MoviePass will drop its surge pricing and its recent move to block sales of tickets to recently opened blockbuster movies.

MoviePass is abandoning those wildly unpopular changes in favor of limiting the number of movies you can see per month. Under peak pricing, subscribers faced paying up to an additional $8 for select movies.

Meanwhile, AMC Theaters has introduced a subscription program of its own to compete with MoviePass, albeit at a higher price point with fewer theaters available. As of June, MoviePass's monthly cash deficit was $45 million, parent company Helios &. A service outage through the weekend also prevented customers from checking into theaters or seeing showtimes.

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