PelotonIt is increasing the monthly membership fee to its online fitness content, and slashing the price of its Tread, Bike+, and Bike+ machines for new customers. Chief Executive Barry McCarthy.

McCarthy is expected to make the announcements on Thursday about the company’s major changes. McCarthy was at the helm of Peloton for just over 2 months. Peloton seeks to recover from a steep decline in share price.

Former CEO Netflix SpotifyRecent press interviews with executive about his views on the matter were candid. an opportunity at Peloton to cut hardware costs. In theory, this would reduce the barriers to entry for consumers and allow the company to shift its attention to increasing monthly recurring revenue.

CNBC spoke with a spokesperson from the company, who said that pricing adjustments announced today were part of CEO Barry McCarthy’s vision for growing the Peloton community.

Peloton will increase the cost of its all-access subscription in the United States to $44 per calendar month from $39. From $49.95, Canada’s monthly fee will go up to $55 from $49. Peloton confirmed that the pricing for international members would remain the same. A digital-only membership for those who do not own any Peloton equipment will cost $12.99 per month.

CNBC saw a blog posting from Peloton that explained their reasoning. The company stated that creating engaging content requires a price. Peloton will continue to offer its services, the company stated.

In the meantime, prices will be reduced starting Thursday at 6 pm ET. ET. Peloton will lower the price of its connected-fitness treadmills and bikes to increase market share and appeal to more people.

• From $1,745, the price for its bike will fall to $1.445 It includes $250 delivery and setup fees.
• Bike+ prices will be $1,995 starting at $2,495.
• It will be available at a discounted price of $2695, which is down from $2845. There is a $350 setup and shipping charge for the Tread.

Peloton is also currently testing a rental option in select U.S. markets,The monthly cost for the rented bike or access to the library’s workout content is $60 to $100. It said that the Bike+ has now been made available for rent and it was recently extended to other markets.

Peloton has 2.77million connected members as of Dec. 31. More than 6.8 million people are connected to the network, and that includes those who just pay for access.

McCarthy is pushing for a subscription model. The company already has a reputation of making hardware cheaper. It began to sell its latest strength product, Peloton Guide for $295 earlier this month. It’s 200 less than what Peloton last November said the deviceThe price of the bundle, which includes a heart-rate armband, is approximately $1,095

McCarthy took over in early FebruaryJohn Foley was the founder of Peloton and is currently serving as its CEO.

Peloton, which announced the plans at that time to reduce approximately 2800 employees and cut hundreds of thousand of dollars annually in its annual expenses and undergo a major restructuring, was also present.

McCarthy is being criticized for his comments. who says he still works closely with FoleyIt isn’t enough to return to profitability.

On Wednesday, activist Blackwells Capital reiterated its call for Peloton to consider a sale of the companyIn his presentation, McCarthy argued that the shareholders of the company are now in worse financial position than when McCarthy assumed control. Peloton didn’t comment.

This is a developing story. Keep checking back for more updates.