Amazon Prime Video adopts ad-supported model following Netflix's move

Amazon Prime Video's initial ad-supported model targets the US, UK, and Germany markets in its current implementation phase for content streaming

Amazon Prime Video adopts ad-supported model following Netflix's move

In a significant development, Amazon disclosed plans to incorporate commercials into its Prime Video service, slated to commence early next year, compelling subscribers to pay an additional £2.99 for an ad-free viewing experience.

The forthcoming inclusion of "limited advertisements" within streaming content is scheduled to debut on February 5 for UK and Germany customers, while users in the US will encounter this change starting January 29. There remains uncertainty regarding the launch timeline for India.

Amazon asserts that viewers can expect "significantly fewer ads" compared to conventional ad-supported TV channels and other streaming platforms. Notably, the monthly subscription fee for Amazon Prime remains fixed at £8.99 in the UK, with no planned increments unless users opt for the ad-free alternative.

This strategic move echoes similar strategies employed by streaming giant’s post-pandemic to bolster profitability. Netflix, a major competitor, initiated its Ad-supported Video-on-Demand (AvoD) model in select countries by the end of 2022, although its expansion into India is pending.