Amazon Inc. (NASDAQ:AMZN) is facing a potential class action lawsuit due to the recent introduction of commercials to its Prime Video service. Some users have deemed this move as deceptive.
What Happened: The lawsuit has been filed in a federal court in California, claiming that Amazon’s decision to add commercials to Prime Video and charge an extra $2.99 per month to skip them breaches the contract and violates state consumer protection laws.
Existing subscribers argue that they signed up for an ad-free service, and Amazon’s decision to introduce ads changes the terms of their agreement. The suit states, "Subscribers must now pay extra to get something they already paid for."
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