Advertisements are coming to Amazon Prime Video’s entertainment content, starting next year, the company announced on Friday. The ad-supported tiers are coming to Prime Video in 2024 amid the company’s attempt to squeeze new revenue. Ads in movies and series will be introduced in Prime Video in the US, the UK, Germany and Canada in early 2024. The ad-supported tiers will be introduced in France, Italy, Spain, Mexico, and Australia later in the year. Notably, rival and streaming giant Netflix also introduced ad-supported plans earlier this year which saw five million monthly active users (MAUs), just six months after its launch, the company announced in May.
“To continue investing in compelling content and keep increasing that investment over a long period of time, starting in early 2024, Prime Video shows and movies will include limited advertisements,” Amazon said in a statement.
Amazon added there are more than 300 million items available with free Prime shipping and tens of millions of the most popular items available with free Same-Day or One-Day Delivery.
The company is not introducing changes to current Prime membership tariffs. It will introduce a new ad-free tier for $2.99 in the US.
“No action is required for Prime members. We’re not making changes in 2024 to the current price of Prime membership. We will also offer a new ad-free option for an additional $2.99 per month for U.S. Prime members and will share pricing for other countries at a later date. We will email Prime members several weeks before ads are introduced into Prime Video with information on how to sign up for the ad-free option if they would like,” the company added.
According to a report, the company mentioned that commercials will be “limited” and the goal is “to have meaningfully fewer ads than linear TV and other streaming TV providers”. However, there are no details on how big the ad load will be.