Amazon is raising the price of its popular Prime subscription for U.S. customers by $20, it has announced.
The company revealed the news on a call to investors on Thursday, saying that cost increases on its end have led to a price bump to $119 a year for consumers.
Amazon Prime offers customers free two-day shipping, a video-streaming service and access to other digital services.
“We continue to increase the value of Prime,” Amazon CFO Brian Olsavsky said during Thursday’s call.
This is the first Prime cost increase in four years. In 2014, the company started charging Prime users $99 a year to use the service, up from the original price of $79.
According to CNN, Amazon CEO Jeff Bezos revealed last week that they have 100 million Prime users.
The price increase takes place on May 11 and will apply to renewals on June 16.
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Teddy is a multimedia journalist who serves as the culture and political writer for EBONY. His work has appeared in NBC's Owned and Operated stations, as well as DNAInfo, which covered local neighborhood news in New York City. He received his Masters in Journalism from the Craig Newmark School of Journalism at CUNY in 2017.