News

Amazon hikes Prime membership fee

Amazon hikes Prime membership fee

PRIMED FOR PRICE INCREASE: It's the first price increase since the online retailer introduced its Prime membership program in 2005. The company said it would probably raise the price in January. Photo: Associated Press

NEW YORK (AP) — Amazon is raising the price of its popular Prime membership to $99 per year, an increase of $20.

It’s the first price increase since the online retailer introduced its Prime membership program in 2005. The company said it would probably raise the price in January.

The hike will apply to users when they renew their membership.

Amazon has spent heavily to grow its business and expand into new areas, from movie streaming to e-readers and groceries. Prime membership also includes two-day free shipping on many products.

In an e-mail Thursday to members, the Seattle company stressed that it has not raised the price on Prime in the 9 years since its launch, even though shipping costs have increased and it has added new services, such as video streaming.

Recent Headlines

in Entertainment, Viral Videos

WATCH: Ice Cube teaches Elmo a new word

Fresh
11-overlay2

There was a time when parents would have freaked out to hear their kids were learning words from Ice Cube.

in Music

Meghan Trainor has beat Michael Jackson

Fresh
trainor

The "All About That Bass" singer is the first Epic Records artist to score eight weeks at No. 1 on the pop charts.

in Trending, Viral Videos

TODAY’S MUST SEE: Daniel Radcliffe ‘raps’ the alphabet

Fresh
17-overlay3

The "Harry Potter" star performs the tongue-twisting "Alphabet Aerobics" and it's hilarious.