A lawsuit brought by a group of subscribers against Amazon after the introduction of advertising on the streaming service has failed.
A federal judge dismissed the proposed class action on Thursday.
Unlike other streaming services that introduced new lower-priced tiers that included ads, Amazon instead put in a new $2.99 monthly fee for those subscribers who wanted an ad free experience.
The subscribers argued that, having paid $139 annually for Prime Video, they anticipated the service would remain free of ads. According to the lawsuit, the addition of advertisements constituted an effective price increase, breaching subscriber agreements and violating Washington state consumer protection laws.
U.S. District Judge Barbara Jacobs Rothstein in Seattle determined that the display of advertisements represented a “benefit modification,” which was permitted by both Amazon and the subscribers under their agreements.
