IDG Answers is a community of experts who are passionate about technology. Ask a question or answer one below.
Don't forget, there is one advantage that is unique to Amazon Prime - it means free 2-day shipping on your orders from Amazon. This can essentially make Amazon Prime pay for itself over a year if you do a lot of your shopping through Amazon. If you are a Downton Abbey fan, Amazon has the edge there as well, since they will be the only source for streaming seasons 2 and 3.
They are similar but different. The cost is pretty close, although you have to pay $79 for a year's membership in Amazon Prime in a single payment vs $7.99 a month for Netflix. Netflix has a generally wider selection of movies and shows, but there is a lot of overlap between them and Amazon. Amazon has the edge in the newest stuff, but you have to pay an additional charge for either a 24 hour rental or a purchase for much of it, since new releases generally aren't included with Amazon Prime membership. For what it's worth, I was curious about what other people thought, and both articles I looked at comparing Netflix and Amazon (here and here) preferred Netflix overall. I have both, and I prefer Netflix as well. I would guess my use of the two services is 80% Netflix, 20% Amazon.