Amazon Prime Video will start showing limited advertisements during its shows and movies in India from June 17, as the company looks to bolster its rapidly-growing advertising business.
In an email to customers on May 13, Amazon said it will aim to have "meaningfully fewer" ads than television channels and other streaming services.
The online retail giant will also offer a new ad-free option for consumers at an additional Rs 699 per year or Rs 129 a month, starting June 17. However, live event content such as sports and Amazon MX Player content on Prime Video will continue to include ads.
"This will allow us to continue investing in compelling content and keep increasing that investment over a long period of time," the email, a copy of the which has been reviewed, by Moneycontrol, said.
Prime Video announced its biggest India content slate in March 2024, comprising 69 new and returning original series, original and licensed films, to be launched over the next two years.
Amazon bundles Prime Video service with its Prime subscription that is available to consumers across three tiers — monthly (Rs 299), quarterly (Rs 599) and yearly (Rs 1,499). Subscribers of Prime Lite, which costs Rs 799 annually, also have access to Prime Video’s full library of content, on any single device (TV or mobile) in 720p High-Definition with ads.
Amazon had announced plans to introduce ads in Prime Video shows and movies in India in October 2024, as part of its broader expansion of ad-supported model on the video streaming service.
Amazon first announced its intentions to include ads in Prime Video in September 2023, as rivals Netflix and Disney+ also debuted similar ad-supported offerings in certain markets. It was first rolled out in the United States, United Kingdom, Germany, and Canada in January 2024, with subsequent rollouts in Australia, France, Mexico, Austria, Italy, and Spain. In the US, Amazon charges an additional $2.99 a month for the ad-free option.
On May 12, Amazon announced that the ad tier of Prime Video reaches more than 130 million US customers, up from 115 million in the previous year.
Amazon also operates a free ad-supported streaming service, Amazon MX Player, formed by the merger of Amazon miniTV and MX Player in October. Amazon acquired certain assets of MX Player, including its apps and some content from its library in June 2024.
In India, JioHotstar, along with other streaming platforms such as Zee5 and Sony LIV, also offer ad-supported plans to consumers.
Netflix provides ad-supported subscription plans in 12 markets, including the United States, United Kingdom, Canada, and Australia. However, the streaming service does not offer these plans in India.
(Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.)
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