Amazon has confirmed that its Prime Video streaming service will introduce advertisements in Australia starting 2 July 2024, aligning with the rollout of ads in the US, UK, Germany, and Canada earlier this year. This decision marks a significant shift for the company, which previously offered an ad-free experience as a key feature of its streaming platform.
In a statement, Amazon explained the decision: “To continue investing in compelling content and keep increasing that investment over a long period of time, starting in 2024, Prime Video shows and movies will include limited advertisements in Australia. We aim to have meaningfully fewer ads than linear TV and other streaming TV providers.”
The company has not yet provided details on the frequency or placement of advertisements, leaving subscribers uncertain about the number of ads per hour and whether they will be presented as pre-roll or during traditional commercial breaks.
This development comes as other subscription TV platforms, which initially launched as ad-free alternatives to free-to-air television, have also introduced advertisements to their services. Binge, Netflix, and Disney+ have all made similar transitions in recent times.
The shift towards advertising-supported models reflects the evolving strategies of streaming platforms as they navigate between content investment and subscriber affordability. However, it remains to be seen how subscribers will react to the presence of advertisements on services they previously enjoyed uninterrupted.
The price increase for an ad-free subscription to Amazon Prime Video is also notable, with the monthly cost rising from $8.99 to $11.98, or from $14.99 to $17.98 with Prime. This change may impact the decisions of new and existing subscribers who value an uninterrupted viewing experience.
