Prime Video Planning Advertisement Tier, Report Says
According to a recent report, Amazon will soon offer an advertising-supported tier for its Prime Video streaming service, following in the footsteps of Netflix, Disney+, and others. Unnamed sources told the Wall Street Journal that talks over an ad-supported tier for Prime Video are still in the “early stages.”
In the first quarter of 2023, Amazon’s marketing division brought in over $9.5 billion in revenue, an increase of 21% year over year.
There is currently no information regarding the price of the rumoured advertisement tier, although Prime Video costs $9 per month as a separate service or $15 per month as part of an Amazon Prime subscription. Freevee is a free streaming service presently owned and operated by Amazon. Additionally, commercial breaks are included in Amazon’s NFL shows.
Amazon is reportedly in talks with WB Discovery and Paramount to add their own ad-supported membership programmes to Amazon Prime Video Channels, according to a report from The Wall Street Journal.
Prime Video commercials are expected to be “brief,” according to the source, however the exact length of each commercial was not specified. According to the article, Amazon hasn’t taken any decisions since then, and the company may not even bother to prepare for an advertising layer at all.
It’s possible that Amazon may increase Prime Video’s success by including an ad-supported tier. Reportedly spending $7 billion on original series, live sports, and verified third-party content in 2022.
The release of an ad-supported Prime Video tier might help Amazon generate additional revenue and aid in funding potential expansions, such as the company’s rumoured purchase of NBA rights for 2025.
The Rings of Power Season 2, Citadel Season 2, a Fallout television series, and more are just some of the Prime Video exclusives now in production.
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