Amazon Prime Video Will Soon Come With Ads, Or A $2.99 Monthly Charge To Dodge Them

Beginning early in 2019, Amazon Prime Video will include advertisements during TV programs and films, joining other streaming services that have added tiers of subscriptions.

The company announced on Friday that Amazon Prime members in the United States can pay $2.99 monthly to maintain their ad-free service.

Streaming services are engaged in fierce competition for viewers, and users are becoming increasingly proficient at joining and leaving these services, often based on price. The platforms risk losing consumers if they increase prices, but they also risk losing them if they fail to generate user-appealing new content.

Mid-October, Disney will begin charging $13.99 per month for ad-free Disney+ in the United States, 75% more than the current ad-supported service. Already, Netflix’s ad-free plan costs $15.49 per month, more than double the monthly subscription for Netflix with advertisements. Beginning early next year, The company will air limited advertisements during TV programs and films to “continue investing in compelling content and increase that investment over time.”

Live sporting events on Amazon Prime already include advertisements.

The United States, the United Kingdom, Germany, and Canada will be the first to implement Prime Video advertisements in early 2024, followed by France, Italy, Spain, Mexico, and Australia later in the year.

The company has stated that it will not alter the pricing of Prime membership next year. Pricing for ad-free programming in countries other than the United States will be announced later.

The company stated it would send an email to Prime members in the United States with instructions on how to sign up for the ad-free option if they choose to do so several weeks before advertisements are introduced into its programs.

Prime Video is just one of the many benefits of an Amazon Prime membership. Members also receive free shipping on Amazon.com purchases, groceries, online audio, and more.

The Federal Trade Commission accused Amazon in June of engaging in a multi-year campaign to enroll consumers without their consent in Amazon Prime, making it difficult for them to terminate their subscriptions. At the time, a spokesperson for Amazon stated that the FTC’s claims were false.

SOURCE – (AP)