Amazon becomes latest streamer to add limited ads to Prime Video starting in early 2024

“We aim to have meaningfully fewer ads than linear TV and other streaming TV providers,” the company said in a blog post.

Ads will be introduced in the U.S., U.K., Germany, and Canada in early 2024, followed by France, Italy, Spain, Mexico and Australia later in the year.

U.S. consumers can pay an extra $2.99 a month to remain ad-free, while consumers in other countries will have that option at a later date.

Prime Video has earned 68 PrimeTime Emmy award nominations this year, while “The Marvelous Mrs. Maisel” has been the most-nominated streaming comedy ever with 80 nominations over a five-season run.

Netflix Inc.
NFLX,
-1.13%
has already added an ad-supported tier to its product lineup, after years of resisting that move. That company is planning to roll it out over multiple quarters. Chief Financial Officer Spencer Neumann said at the Bank of America conference in New York earlier in September that a “healthy proportion” of accounts are moving in that direction, while acknowledging that building an ad business is challenging.

For more, read: Netflix shares dip after CFO expresses concern over Hollywood strikes and offers soft margins guidance

The streaming companies are under pressure from the current writers and actors’ strike that has paralyzed production. The Writers Guild of America and the Alliance of Motion Picture and Television Producers held a second day of bargaining talks on Thursday and hopes are high they can reach a deal that would break the deadlock. Talks are expected to resume on Friday, according to the Hollywood Reporter.

The WGA has been on strike since May, while actors represented by SAG-AFTRA have been striking since July.

Amazon’s stock was up 16% early Friday and has gained 54% in the year to date, while the S&P 500
SPX,
-0.23%
has gained 12.8%.

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