Amazon plans ad-supported video streaming service

Amazon plans ad-supported video streaming service

Online retailer Amazon.com Inc will release a new ad-supported video streaming service early next year, the New York Post reported, citing sources.

The service will be separate from the company's $99-a-year Prime membership, which includes a video service, the Post reported. 

The Post did not say if the new service would be free or chargeable. Amazon's Prime service costs $99 a year.

Amazon was not immediately available for comment.

The new service will compete directly with Hulu and Netflix Inc, whose charges start at $7.99 a month for customers in the United States.

Though the new service will be separate from Prime, ultimately Amazon plans to lure more users and eventually get them to sign up for Prime, the Post said.

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