Free Prime Video tier by $2 a month

Amazon is boosting the price of Prime Video to $4.99 a month in the U.S., from $2.99 per month for users who want to avoid ads.

Free Prime Video tier by $2 a month
Free Prime Video tier by $2 a month Photo: CNBC

Amazonis bumping up the price of its ad-free Prime Video offering in the U.S.

by $2 a month, the companyannouncedFriday.

The service will now cost $4.99 a month, up from $2.99 a month, starting April 10.

As part of the price hike, Amazon is rebranding the ad-free tier as "Prime Video Ultra," and said it's adding more features to the subscription, like the ability to watch content on five devices simultaneously, up to 100 downloads and 4K streaming.

"Delivering ad-free streaming with premium features requires significant investment, and this structure aligns with other major streaming services while ensuring customers have the flexibility to choose how they want to watch," the company wrote in a blog post.

Amazon firstintroducedads on its Prime Video streaming service in 2024.

Customers who want to watch shows or movies without ads have to pay an additional monthly cost.

That includes members of Amazon'sPrime program, who pay $139 a year for the subscription service.

Amazon has said the number of Prime subscriptions continues to grow.

In itsearnings reportlast month, the company said Prime Video maintained an average ad-supported audience of more than 315 million viewers globally, up from 200 million as of April 2024.

Advertising revenue for 2025 rose 22% year over year to $68.6 billion, according to Amazon's latestannual filing.

Amazon is third in the digital ad market, trailingGoogleandMeta.

WATCH:Amazon Prime spends big for NBA games
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Source: This article was originally published by CNBC

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