Movie ticketing service MoviePass has passed the 1 million mark in paid subscribers.

“We are excited and proud to have reached the one millionth subscriber level in such a short time while still early in the consumer adoption curve,” MoviePass CEO Mitch Lowe said. “Our focus on creating the best movie theater subscription service experience for our subscribers has propelled our growth to date. We believe that growth will continue as we further develop our application, improve customer service, enhance exhibitor relations and fill movie theater seats for incredible films to be released in the future.”

MoviePass allows subscribers to purchase a single movie ticket per day for a flat monthly subscription fee by using a mobile app. It unveiled a pricing plan in August at $9.95 per month, then offered one-year subscription plan at $6.95 a month that required users to pay for the full year in advance.

Earlier this month, Cinemark launched a MoviePass competitor called Cinemark Movie Club that lets customers buy a movie ticket a month for a discount price of $8.99, in addition to 20% off on concessions. It also allows members to roll over unused tickets every month and buy additional ones for friends at the lower price.

MoviePass pays theaters the full price for a ticket, so it is in essence subsidizing its users’ moviegoing and losing money each time they check out a film. The average movie ticket cost $8.60 through the first three quarters of 2017, but in major cities, such as Los Angeles and New York, tickets often cost more than $10.

AMC, the country’s largest chain, threatened legal action against MoviePass in August and predicted that the company would fail because its business model was not sustainable. There is anxiety among exhibitors that customers will get accustomed to paying a discounted rate for tickets, which will depress prices.

The move comes with domestic box office revenues for 2017 trailing last year by about 3%, thanks to disappointing movie performance in the summer and in October, according to comScore.