Amazon Prime Video subscribers will soon see ads unless they pay extra in these countries

Amazon's Prime Video subscribers will no longer enjoy the ad-free experience unless they pay an additional $3.83 (£2.99) in some countries. They will start seeing commercials between movies and TV shows early next year.

According to the company, after February 5, customers in the United Kingdom and Germany would begin to see "limited advertisements" while streaming content. Prime Video subscribers in the United States will also see the commercial on January 29.

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Prime Video is not the first streaming platform to roll out ads. Its rivals, Netflix and Disney, have already introduced less expensive ad-supported packages for cost-conscious users concerned about soaring household bills.

After the post-pandemic plunge in subscriber growth, large streaming platforms have altered their business models. The objective behind introducing ad tiers, increasing costs and cutting spending on content, is to shift loss-making services to profitability.

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According to the company's financial statements, advertising has taken a growing share of Amazon's business, accounting for over eight per cent of the net sales. Income from advertising surpassed income from subscription services in 2022.

Prime Video has emailed its members, saying the decision would allow the company to "continue investing in compelling content and keep increasing investment over a long period."

However, Amazon added that it would not overwhelm subscribers with messages, assuring it would have "meaningfully fewer ads than ad-supported TV channels and other streaming TV providers."

The streaming platform had said earlier this year that it planned to introduce ads in countries including the UK, US, Germany and Canada, following its rivals.

Amazon's Prime subscribers in the UK enjoy access to music and streaming services and free and fast delivery on packages at $11.52 (£8.99) per month. However, the company plans to change the package cost in 2024 unless customers pay extra for the ad-free option.

Netflix began to roll out ad-supported content in late 2022. The streaming service said over 15 million customers have signed up for it. It charges $6.39 (£4.99) per month for the basic package, significantly less than its $14.08 (£10.99) standard ad-free package.

Here is how various streaming services will compare once Amazon's new fee kicks in in the United States:

• Amazon Prime Video Ad-Free (standalone):$10.99 a month
• Amazon Prime Video Ad-Free (with Prime subscription):$16.99 a month
• Netflix Standard:$15.49 a month
• Disney+ Ad-Free:$13.99 a month
• Hulu Ad-Free:$17.99 a month
• NBCUniversal's Peacock:$11.99 a month
• Max:$15.99 a month

(With inputs from agencies)