Amazon takes on Netflix in India with cheaper mobile-only Prime Video plan

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(Reuters) – Amazon.com on Wednesday launched a lower-priced mobile-only subscription plan for its video streaming service in India, undercutting a similar plan by Netflix Inc to woo price-sensitive subscribers.

The Amazon Prime Video plan, meant for single users and available in standard definition quality, will cost 89 rupees ($1.22) per month initially, the company said.

In India, where data packages are among the cheapest in the world, mobile-only plans are likely to gain more traction given the large number of smartphone users. Such plans also help over-the-top (OTT) players tap into larger audiences, specially those who like to consume content on the go.

Amazon said it was partnering with India’s telecom major Bharti Airtel to roll out the plan to millions of its prepaid subscribers.

Airtel customers on bundled prepaid packs can avail a 30-day free trial by signing up on Prime Video from the Airtel Thanks app using their mobile number, Amazon said. (bit.ly/2Ka72mW)

After the free trial ends, Airtel customers can access the service through prepaid recharges starting at 89 rupees for 28-days access.

Amazon Prime Video will continue to be available for 999 rupees annually or 129 rupees per month, as part of its standard offering. In comparison, Netflix charges between 499 rupees to 799 rupees for a monthly subscription.

Reporting by Eva Mathews in Bengaluru; Editing by Shinjini Ganguli

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