Amazon Faces Legal Action Over Removal of Dolby Vision and Atmos Support from Ad-Based Prime Video
California, USA – In a surprising turn of events, Amazon is facing legal action as some of its Prime Video subscribers take issue with the introduction of ads and the removal of key features. The lawsuit, seeking at least $5 million in damages, accuses the tech giant of breach of contract, false advertising, and unfair competition.
Earlier this year, Amazon quietly introduced ads into its popular Prime Video streaming service, much to the dismay of its loyal user base. However, what caught many subscribers off guard was the removal of Dolby Vision HDR and Dolby Atmos support for select content, a move that was not initially disclosed by the company. An Amazon spokesperson has since confirmed this change.
The sudden removal of these highly sought-after features has left many Prime Video users frustrated and disappointed. In order to regain access to Dolby Vision and Atmos support and avoid ads altogether, subscribers are now required to pay an additional $2.99 per month. The hidden cost has raised concerns about transparency and the potential for future undisclosed changes.
Fed up with the switch to ad-based plans and feeling deceived, a group of Amazon Prime subscribers has filed a lawsuit in California. These subscribers argue that, as annual Prime members, they were led to believe that their original subscription included ad-free viewing. They are now demanding compensation for what they perceive as a breach of contract.
The lawsuit against Amazon accuses the company of not only deceiving its loyal customer base but also engaging in false advertising and unfair competition. However, as of now, Amazon has not responded to the legal action.
With the rise in popularity of streaming platforms and the fierce competition in the market, companies like Amazon are constantly looking for ways to monetize their services. However, when these changes come at the expense of key features and the trust of their subscribers, it is no surprise that legal action is being taken. Only time will tell how Amazon will address these allegations and whether they will make amends with their disgruntled customer base.
Analyst comment
Negative news. As an analyst, this legal action against Amazon could have a negative impact on the market. It raises concerns about transparency and customer trust, potentially leading to a loss of subscribers and reputational damage. Amazon will need to address these allegations and make amends to regain the loyalty of its customer base.
