Amazon Prime Video to Run TV Commercials Early Next Year

Amazon Prime Video plans to introduce commercial breaks to its popular streaming service early next year, following top platforms such as Disney+, Netflix and Warner Bros. Discovery’s Max, which already offer ad-supported tiers. The company indicates it will run fewer ads than traditional linear TV broadcasters and broadband rivals but has yet to specify numbers. Subscribers in the U.S. who want to keep the streaming service ad-free have the option of paying an additional $2.99 per month. Amazon explained that its strategy to include ads would help it “continue investing in compelling content and keep increasing that investment over a long period of time.” Continue reading Amazon Prime Video to Run TV Commercials Early Next Year

Amazon Integrating AI to Modernize NFL Viewing Experience

Amazon is using artificial intelligence to change the way viewers experience “Thursday Night Football” on Amazon Prime Video this season. Now in the second year of its 10-year NFL deal, Amazon joins Disney’s ESPN in using AI to change how people experience televised sports by parsing a variety of analytics and using machine learning to interpret 2D video into 3D for a variety of viewpoints on any play. Amazon is auto-generating highlights feeds for each game, so late arrivals can catch up. September 14 marks the debut of the new AI Prime features and the games in 1080p HDR. Continue reading Amazon Integrating AI to Modernize NFL Viewing Experience

NFL+ Boosts Prices as It Bundles with NFL Network, RedZone

The National Football League is raising the price of its streaming service, NFL+, now in year two, as live streams of the NFL Network and NFL RedZone cable channels are becoming part of the package. Cost of the premium plan will be $14.99 a month (or $99.99 per year), up 50 percent from $9.99, with the bundled NFL Network and its exclusive regular-season games, and fan-favorite RedZone, which carries live action from all Sunday afternoon games. A subscription to NFL+ with only the NFL Network added will increase 40 percent to $6.99 per month (or $49.99 per year), from $4.99. The changes will coincide with the start of the new season on September 10. Continue reading NFL+ Boosts Prices as It Bundles with NFL Network, RedZone

AWS, Advertising Drive Amazon to 11 Percent Revenue Gain

Amazon’s AWS cloud-computing unit generated $22.1 billion in Q2, a 12 percent year-over-year gain that was a highlight in a strong quarter for the e-commerce giant. The company generated a total of $134.4 billion in revenue for the period ending in June, an 11 percent increase over the prior year. Advertising was also strong, jumping 22 percent to $10.68 billion. Cost-cutting and rebounding e-commerce helped propel the Seattle-based company to a quarterly profit of $6.75 billion (its strongest performance since Q4 2021), which contrasted sharply with a loss in the same period last year. Continue reading AWS, Advertising Drive Amazon to 11 Percent Revenue Gain

Amazon Explores Launching Ad-Supported Prime Video Tier

Amazon may be further leveraging its enviable position with Madison Avenue by launching an ad-supported Prime Video tier. The move makes sense given Amazon’s surging ad revenue from online sales. The company also owns the FAST service Freevee. Amazon’s ad savvy runs deep, and reports suggest the e-commerce giant is also in discussions with Warner Bros. Discovery and Paramount Global to package the ad-supported versions of Max and Paramount+ under the Prime Video Channels banner. The news comes on the eve of the Cannes Lions International Festival of Creativity for the global marketing elite. Continue reading Amazon Explores Launching Ad-Supported Prime Video Tier

Amazon Offers New Ad Model for Thursday Night NFL Games

Amazon is offering advertisers a unique marketing opportunity within “Thursday Night Football,” inviting them to take advantage of new streaming tech by programming different creative messages within the same 30-second slot. “For the first time in NFL history, fans across the country will no longer view the same national commercials while enjoying live coverage provided by Prime Video on Fire TV devices,” Amazon said at the NewFronts. For example, an automotive brand could promote sports cars to younger adults, SUVs to outdoor enthusiasts and a general spot for everyone else — all in the same 30-second window. Continue reading Amazon Offers New Ad Model for Thursday Night NFL Games

NFL Sunday Ticket Is Coming to YouTube TV and Primetime

Over the holidays, the National Football League announced a multi-year deal with Google that will provide YouTube TV and YouTube Primetime Channels with exclusive rights to the NFL Sunday Ticket package, which includes all out-of-market Sunday games broadcast via CBS and FOX. Beginning with the 2023 football season, NFL Sunday Ticket will be available for U.S. consumers “on two of YouTube’s growing subscription businesses as an add-on package on YouTube TV and standalone a-la-carte on YouTube Primetime Channels,” according to Google. The agreement is valued at about $2 billion annually over seven years. Continue reading NFL Sunday Ticket Is Coming to YouTube TV and Primetime

Netflix Ad-Supported Plan to Debut Nov. 3 for $6.99 per Month

Netflix is introducing its ad-supported tier in the U.S. starting November 3, at a monthly subscription fee of $6.99. The Netflix economy service will reportedly average between four and five minutes of ads per hour, with individual spots running 15 seconds to 30 seconds. Certain TV shows and movies won’t be included on the ad-supported tier due to contract restrictions. To provide advertisers with viewership measurement, Netflix will begin using Nielsen’s digital measurement service in the U.S. starting in 2023. This will mark the streaming giant’s first third-party ratings. Continue reading Netflix Ad-Supported Plan to Debut Nov. 3 for $6.99 per Month

Amazon Reports Online Sales Are Down While Revenue Is Up

Amazon increased revenue by 7 percent to $121.2 billion in the second quarter, beating analyst expectations and sending the stock soaring 12 percent despite a $2 billion loss. That contrasts with a $7.8 billion profit for the same period last year. The loss was due in part to Amazon’s investment in the electric car company Rivian, whose value has plunged this year. “Despite continued inflationary pressures in fuel, energy, and transportation costs, we’re making progress on the more controllable costs we referenced last quarter, particularly improving the productivity of our fulfillment network,” said Amazon CEO Andy Jassy. Continue reading Amazon Reports Online Sales Are Down While Revenue Is Up

Big Tech Drives Up Sports Prices as Amazon, Apple Go All In

Big Tech has become a disruptor in the marketplace for sports rights, with Amazon and Apple bidding against traditional media for rights to NFL and MLB games in addition to college conference competition and Formula 1 racing, according to recent reports. Among the prizes, DirecTV’s expiring rights to the NFL Sunday Ticket, a package that is being shopped with a $2.5 billion annual price tag, $1 billion more than the satellite operator’s current deal, which ends in January. In addition, Google is said to be bidding on behalf of YouTube. Beginning September 15, Amazon Prime Video begins its exclusive carriage deal for “Thursday Night Football.”  Continue reading Big Tech Drives Up Sports Prices as Amazon, Apple Go All In

Amazon Profits Double While Q4 Operating Income Plunges

Amazon had a merry Q4, doubling net income to $14.3 billion from $7.2 billion the prior year. While quarterly revenue of $137.4 billion was up 9 percent due largely to its “biggest-ever” Black Friday to Cyber Monday shopping weekend, the profit surge was the result of a pre-tax gain of $11.8 billion from its investment in Rivian. The electric car manufacturer completed an initial public offering in November. The Amazon Web Services cloud unit grew revenue 40 percent to $17.8 billion, more than $5 billion of it income. Total 2021 revenue was $469.8 billion, up 22 percent. Continue reading Amazon Profits Double While Q4 Operating Income Plunges

Amazon to Acquire MGM in Deal Valued at Nearly $8.5 Billion

Amazon announced this morning that it will purchase MGM Studios for $8.45 billion, signaling the tech giant’s serious intent to expand its entertainment ambitions by beefing up its Prime Video content library to better compete with Netflix, Hulu and the growing collection of streaming video services. The deal marks the second largest acquisition for Amazon; the company paid $13.7 billion for Whole Foods in 2017. Amazon plans to leverage MGM’s significant catalog of 4,000 movies and 17,000 television shows to help strengthen its film and TV unit Amazon Studios. Continue reading Amazon to Acquire MGM in Deal Valued at Nearly $8.5 Billion

Fox Corp Quarterly Figures Exceed Wall Street Expectations

In the quarter ending March 31, Fox Corporation saw its year-over-year profit increase sevenfold to $567 million, with a 6.5 percent drop in revenue to $3.2 billion. The numbers exceeded Wall Street estimates. Earnings per share were 88 cents, ahead of analyst expectations of 58 cents. Fox chief executive Lachlan Murdoch reported that exiting “Thursday Night Football” a year early would lift earnings from $350 million to $400 million, which would help finance the 13-year deal that the company struck to continue broadcasting Sunday NFL games. Continue reading Fox Corp Quarterly Figures Exceed Wall Street Expectations

Amazon OTT Businesses Reach 120+ Million Monthly Viewers

Amazon’s over-the-top businesses (including IMDb TV, Twitch, live sports and Amazon’s News app among others) have grown to 120+ million monthly viewers. The free, ad-supported IMDb TV, which is getting a mobile app, has seen its viewership rise 138 percent year-over-year, making it a rival to similar ad-supported streamers including Fox’s Tubi, ViacomCBS’s Pluto TV and Roku’s The Roku Channel. Amazon’s exclusive rights to NFL’s “Thursday Night Football” will begin a year earlier than originally planned, with the 2022-2023 season. Continue reading Amazon OTT Businesses Reach 120+ Million Monthly Viewers

Amazon’s Profits, Income, Stock Price Skyrocket During 2020

For Q1 2021, Amazon reported record profits of $26 billion, more than the previous three quarters combined, with net income more than tripling to $8.1 billion and revenue of $108 billion, surpassing FactSet’s analyst predictions. In addition to Amazon’s successful quarter, Apple, Facebook, Google and Microsoft all enjoyed major upticks in profits and revenues, the result of the increased need for their products and services during the COVID-19 pandemic. Amazon expects that its Q2 sales will reach between $110 billion and $116 billion. Continue reading Amazon’s Profits, Income, Stock Price Skyrocket During 2020