Amazon Prime Video is set to undergo a significant change as it introduces advertisements to its streaming service in the UK and Germany, starting from February 5, 2024.

Amazon customers in the UK and Germany will experience “limited” ads unless they opt to pay £2.99 per month to enjoy an ad-free experience. This move follows similar strategies by competitors like Disney+ and Netflix, who introduced more affordable ad-supported memberships amid price hikes.

Amazon justifies the introduction of ads as a means to continue investing in compelling content and plans to maintain a lower ad frequency compared to traditional TV and other streaming providers, as stated in an email to its customers.

Even for those who choose to remove ads by subscribing to the ad-free plan, live content, including sports, will still include advertising.

International Rollout and Pricing Disparities

While customers in the US and Canada will start seeing ads on January 29, 2024, Amazon intends to expand this feature to France, Italy, Spain, Mexico, and Australia later in the year. However, UK customers might find themselves at a disadvantage as they pay £2.99, whereas customers in Germany will pay €2.99 (£2.60), and US customers will pay $2.99 (£2.35).

Amazon Prime Subscription and Price History

Amazon Prime Video is part of the broader Amazon Prime subscription, which includes one-day delivery on products alongside access to the streaming service. The last price adjustment for this service occurred in 2022, with the monthly subscription increasing by £1 to £8.99 and the annual membership rising from £79 to £95.

This introduction of ads aligns with Amazon’s recent announcements about upcoming content, including renewals of popular series like Leverage: Redemption and The Boys. Additionally, a deal with Games Workshop is in place to bring Warhammer 40,000 to the screen, with actor Henry Cavill deeply involved. Amazon is also gearing up for the much-anticipated series based on the video game Fallout.

Industry Trends: Ad-Supported Services

The move by Amazon follows industry trends, with Disney+ expanding its ad-supported service to the UK in August 2023, and Netflix introducing its “basic with ads” streaming plan in 2022. The landscape of streaming services continues to evolve as providers explore different revenue models and content offerings.