Amazon Prime, the company’s $79/year subscription service, has significantly fewer subscribers than Wall Street analysts have been estimating, according to a Bloomberg News report this afternoon, citing three people familiar with the matter.
The Amazon Prime service had 3 million to 5 million subscribers as of October, according to the Bloomberg report. That’s in contrast to current analyst estimates putting the number at more than 10 million Amazon Prime subscribers.
Amazon doesn’t routinely disclose its Prime subscription numbers. A 30-day Amazon Prime trial is included with the company’s Kindle Fire tablet, and Amazon is counting in part on subscription revenue to make up for the low $199 price of the device.
Amazon Prime includes free two-day shipping of selected items for members, in addition to Prime Instant Video streaming at no extra cost. Amazon last year added selected Kindle book rentals to the lineup for Amazon Prime subscribers who own Kindle devices.
An Amazon spokeswoman declined to comment on the Bloomberg report, citing a policy against addressing rumors or speculation.