Lawsuit Alleges Amazon Misleads Subscribers with Prime Video Ads and Changes to Subscription Features

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ICARO Media Group
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14/02/2024 20h56

In a recent development, a lawsuit seeking class-action certification has been filed against Amazon's Prime Video streaming service. The lawsuit, first reported by The Hollywood Reporter, claims that Amazon's introduction of ads in its Prime Video streams has left subscribers feeling deceived and shortchanged.

According to the complaint, Amazon began showing ads with Prime Video streams for its US subscribers in January, unless customers paid an additional $2.99 per month. This approach differed from how other streaming services introduced ads, which involved launching new subscription plans with lower prices and encouraging subscribers to switch. The lawsuit argues that this change means customers who signed up for an annual subscription to Prime Video before Amazon's September 2023 announcement about ads already paid for a different service than what they expected.

The complaint highlights the case of one plaintiff, Wilbert Napoleon, a California resident who purchased an annual subscription to Prime Video in June 2023. The lawsuit accuses Amazon of falsely advertising Prime Video, claiming that subscribers must now pay extra to access the ad-free streaming they initially paid for.

While the lawsuit raises concerns about Amazon's advertising practices and changes in the user experience, it remains to be seen how far the legal action will progress and whether it will lead to financial penalties for the company. Notably, Amazon's terms of use maintain the right to diminish the value of Prime Video.

This case taps into a broader issue surrounding streaming services, as customers often find their expectations unmet when committing to yearlong subscriptions. Amazon's delayed announcement of the introduction of ads and the removal of features such as Dolby Vision and Dolby Atmos support without prior notice has raised concerns among subscribers. These changes were only revealed in December, despite insiders claiming that Amazon had plans to bring ads to the service as early as June.

Prime Video subscribers are frustrated by the changing landscape of the service they signed up for, particularly since ad-free streaming used to be a key advantage compared to other streaming platforms. Customers argue that streaming companies should be transparent about future changes if they expect users to commit to long-term subscriptions.

As of now, Amazon has declined to comment on the ongoing lawsuit, and lawyers for the plaintiffs have not provided any additional comments. Subscribers will be watching closely to see how this legal action unfolds and whether it will lead to greater clarity and consumer protection in the streaming industry.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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