Amazon Raises Cost Of Prime Membership Following Strong Q4 Earnings

Amazon announced a price increase for its Prime membership, raising the annual fee from $119 to $139 and the monthly fee from $12.99 to $14.99. This is the first price hike since 2018, attributed to rising costs and expanded services. The discussion with Josh Lowitz highlights that the price increase is a strategic move to maintain profitability as Amazon's services, like Prime Video and faster shipping options, have grown. The company has historically raised prices every few years, and the expansion of services has led to increased costs, including logistics and warehouse operations. The incremental price adjustments are seen as necessary to avoid larger hikes in the future.

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