Amazon Prime Video’s ad-free price hike pushes viewers toward ads

The news: Amazon is upping the cost of Prime Video’s ad-free viewing tier by 67%. 4K resolutions, previously available with a standard ad-free plan, are now exclusive to its new premium tier.

  • Amazon’s ad-free subscription tier will be rebranded to Prime Video Ultra and will now cost $4.99 per month, up from the current $2.99, on top of the cost for an annual Prime membership.
  • Changes will take effect on April 10 for US subscribers.
  • Basic Prime memberships will include ads; 1080p Dolby Vision will be restored after its removal in 2024.

The trend: Prime Video’s restructuring follows industrywide moves to push more users toward ad-supported tiers and boost ad revenues as the streaming ecosystem becomes more competitive and crowded.

  • Last year, Netflix increased prices across its plans: The Standard ad-free tier rose by $2.50 to $17.99 per month, while Premium rose to $24.99. Its ad-supported option saw a smaller $1 increase, bringing it to $7.99 per month.
  • HBO Max made similar moves in late 2025. The platform raised the price of its ad-free Standard to $18.49 and its Premium 4K tier to $22.99. Its ad-supported option, meanwhile, currently sits at $10.99 per month.
  • Paramount+ increased prices in January, with its ad-supported Essential plan going up by $1 monthly and its ad-free Premium increasing by the same amount. The move aligned with the platform’s push into higher-cost franchises and sports like the NFL.

Streaming prices overall grew by nearly 20% in December 2025, per the Bureau of Labor Statistics’ inflation data. Meanwhile, the average cost of ad-free streaming increased 78% between 2020 and 2025, per The Verge.

The reason is simple: Streaming platforms are looking to boost ad revenues as more players compete for a slice of the pie. Even as consumers show a high willingness to pay more to avoid ads, the vast majority are not ad-free-only viewers. This gives streamers the opportunity to push users into ad-supported tiers without sacrificing subscription revenues.

Implications for marketers: With streaming prices increasing across the board, marketers are advised to continuously reassess ad inventory value across popular platforms.

More viewers are likely to shift toward ad-supported options as ad-free subscriptions see steeper price increases. However, marketers should also account for the likelihood that any price hike will prompt consumers to reassess their streaming budgets. Seventy percent of consumers report frustration with rising fees, according to Deloitte, which could lead to higher churn or greater consolidation around a handful of leading platforms—both trends marketers should monitor.

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