Arabella Asis Tech 12.26.2023 20:Dec PM EST

Amazon Prime Video to Start Ad-Tier Program on January 29

Amazon's Prime Video service will start showing ads on its movies and TV shows starting January 29 as part of its transition to expand its services.

(Photo : Jonathan Raa/NurPhoto via Getty Images)

Amazon Justifies Ad-Tier Program

In an email sent to Prime Video customers, Amazon revealed that the ad-tier program will serve as an investment to continue the production of "compelling content" for a long time. The limited advertisement plan was initially announced last September, detailing that content from the U.S., U.K., Germany, and Canada will be the first to experience it.

"We aim to have meaningfully fewer ads than linear TV and other streaming TV providers. No action is required from you, and there is no change to the current price of your Prime membership," the company wrote. However, customers who want the service free of advertisements can pay $2.99 per month.

Amazon Prime currently costs $14.99 a month or $139 annually. It can also be subscribed individually for only $8.99 per month. With the new implementation, ad-free streaming is expected to land at about $18 a month and $12 a month for standalone Prime Video.

Amazon to Continue Development by 2024

The ad-tier service will also be implemented soon in France, Italy, Spain, Mexico, and Australia. Currently, there is no specific date as to when it will affect these countries but Amazon confirmed it will be later in 2024. Meanwhile, pricing for other countries outside the U.S. will be announced at a later date.

Likewise, Amazon also informed its customers that it will continue to add benefits and features over time as part of its plan to improve the program. As of now, Prime has become the company's main selling point which offers a wide range of benefits to its members.

On the other hand, Amazon noted that its ad-sponsored streaming service, Freevee, will still hold live event content like sports and will continue to include advertising.