Amazon plans to launch an ad-supported Prime Video subscription tier, according to a new report. While it is not unusual for a streaming service like Prime Video to offer a ‘with ads’ plan, Amazon does already own Freevee, a streaming service that’s completely free, thanks to the use of ads.
Ad-supported plans, and even entire services, have become big business of late and a seemingly easier way to diversify a company’s streaming portfolio. Some of the big-name services that have added ad-supported tiers in recent months and years include Max, Netflix, and Disney Plus.
In a bid to further expand its ad business, Amazon also now plans to launch an ad-supported Prime Video tier, according to a new report from The Wall Street journal which credits “people familiar with the situation” for the information.
At present, it currently remains unknown how much the ad-supported plan would cost or when it might be announced.
In what would be another notable change, the same report also explains that Amazon has been holding talks with Warner Bros. Discovery and Paramount Global over the possibility of making available ad-supported tiers of the company’s respective Prime Video Channels.
While Amazon’s Prime Video Channels service does already offer the option to sign up to both Max and Paramount Plus, subscribers can currently only sign up to ad-free versions.
Considering these ad-free plans are more expensive, offering the option of ad-supported versions will make it cheaper for Prime Video users to subscribe to either Max or Paramount Plus in the future.