Amazon Bringing Ads to Prime Video in 2023, Ad-Free Viewing Will Cost Extra
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Amazon will start showing ads in Prime Video content in early 2023 in the U.S., Canada, U.K., and Germany. Other countries will follow later.
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Unlike competitors, Amazon won't offer a cheaper ad-supported subscription tier - ads will be default for all Prime members. Ad-free viewing will cost an extra $2.99/month.
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Ads will be in TV shows, movies, though not live sports. Amazon aims for fewer ads than linear TV.
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Revenue from ads will help fund costly Prime Video content like Lord of the Rings series.
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Streaming services adding ad tiers follows cable TV model of both subscription fees and advertising revenue.