By Sahil Patel
Amazon has hiked the price of Amazon Prime by $20, now requiring subscribers to pay $99 per year to access free two-day shipping and all of those films and TV shows on Amazon Instant Video.
For all you students out there, Prime will come at a discounted rate of $49 per year.
Since launching in 2005, Prime customers have paid $79 per year for the service. In a Q4 earnings call in January, CFO Tom Szkutak said the company was considering raising the price by $20 to $40. The reason for the hike, according to Szkutak, is that shipping costs have gone up in the past nine years.
With this change, if you want to compare Amazon Prime Instant Video to Netflix, which we will, Prime now equals out to $8.25 per month. That’s a little higher than rival Netflix’s $7.99 per month rate (for up to two simultaneous streams), but lower than the $11.99 it costs to watch Netflix content on up to four screens.