Amazon.Com plans to launch an advertising-supported level of prime video streaming service, The Wall Street Journal reported on Wednesday, citing people familiar with the matter.
As per the report, ad-level discussions have been going on for several weeks, and follows the launch of similar plans by rivals. Netflix And Walt Disney,
The streaming industry is facing a slump in new sign-ups as subscribers grappling with high inflation and interest rates hold back on entertainment spending and other discretionary spending.
The WSJ report also said that discussions were underway with Amazon. warner bros discovery And Paramount Global About adding ad-based tiers of their streaming services through Prime Video channels.
Warner Bros Discovery and Paramount did not immediately respond to Reuters requests for comment, while Amazon declined to comment.
Amazon shares were down more than 3 percent on Wednesday, in line with a weak broader market.
“In recent years, Prime Video has become more aggressive about running promos before its shows and advertising-filled sports broadcasts,” said Ross Benes, principal analyst at Insider Intelligence.
Sports coverage on Prime Video already comes with commercials.
“Officially putting advertising into Prime Video allows Amazon to centralize its audience and be more consistent with its branding,” Benes said.
it was told earlier amazon prime video customers will reportedly start seeing amazon mini tv Content on the platform as well. It is said to broaden its reach beyond the default Amazon Shopping app. As per the report, the integration is currently being beta tested on select paid accounts, with a full rollout expected ‘soon’.
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