Amazon Prime Video Subscribers, Get Ready To Pay Extra Or Start Seeing Ads
Portfolio Pulse from Ananya Gairola
Amazon Inc. (NASDAQ:AMZN) has confirmed that starting January 29, Prime Video will feature limited advertisements. Customers can opt for an ad-free experience by paying an additional $2.99 monthly fee, raising the standalone Prime Video service cost to just under $12 per month. The current Prime membership price will remain the same, and Amazon's Freevee service will continue to have ads. This strategy aims to fund more content investment over time. An analyst previously praised the move, anticipating increased revenue for Amazon.
December 27, 2023 | 11:10 am
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Amazon Inc. is introducing ads to Prime Video on Jan 29, with an option for ad-free viewing at an extra $2.99/month. This move is expected to increase revenue and fund content investment.
The introduction of ads on Prime Video is a significant change in Amazon's service offering, which could lead to increased revenue through both ad sales and additional fees for ad-free viewing. The move is directly related to Amazon's strategy to invest in more content, which could attract more subscribers in the long term. The positive reception by an analyst suggests a favorable market view, which could lead to a short-term positive impact on AMZN's stock price.
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