Amazon is positioning itself to compete more aggressively against rival streaming video providers such as Netflix and Hulu with a move into the monthly subscription streaming business.
The Los Angeles Times reports that the company launched two new monthly membership options over the weekend. For $10.99 a month, subscribers can get Prime, which includes the benefits carried by the annual Prime membership, such as free shipping on Amazon.com purchases and access to Prime Music.
The other option, Prime Video, goes for $8.99 a month and is limited to access to licensed video content. It does not include free shipping or music streaming.
“The new monthly Prime Video option is more expensive ($107.88) than Amazon’s annual subscription ($99) when totaled up. The incentive, however, is that the new monthly memberships can be canceled at any time,” the Times notes.
The move comes just ahead of a planned Netflix price increase coming in May, when the streamer is expected to bump up its price to $9.99 a month for the standard Netflix membership.