Amazon is taking on Netflix and Hulu with a stand-alone video streaming service.
Customers can now pay $8.99 a month to watch Amazon’s Prime video streaming service. Previously, the only way to watch Prime videos was to pay $99 a year for Prime membership, which includes free two-day shipping on items sold by the site. The video-only option won’t come with any free shipping perks.
At $8.99 a month, Amazon’s stand-alone streaming service is $1 less than Netflix, and $1 more than Hulu.
Amazon is also offering a new pay-as-you-go option for its full Prime membership that costs $10.99 a month.
Amazon.com Inc. shares slipped 0.1% before the stock market opened on Monday. Netflix Inc. shares fell 1.3%.