Amazon Prime Video is concentrating on live sports to increase revenue.

Amazon Prime Video

To reach internal corporate profit targets, Amazon’s Prime Video has refocused its strategy away from original television series and films and toward live sports, according to a Friday report from The Information.

Amazon’s purported action is a turning point for the digital behemoth as it looks beyond its customary emphasis on original content to make money.

Because live sports events draw large audiences in real-time, they present excellent chances for targeted ad placements. As a result, streaming companies have been luring more live content partnerships to increase their ad revenue.

According to the story, which cited two people familiar with the company’s intentions, this change is part of the strategy to reach Amazon CEO Andy Jassy’s objective of making Prime Video profitable by the end of 2025.

According to the article, Amazon has made significant investments in sports content, spending over $3 billion a year for broadcasting rights to major leagues like the NBA and NFL.

Amazon signed an 11-year, $77 billion contract in July to stream NBA games with Walt Disney’s ESPN and Comcast-owned NBC Universal. Last year, Amazon also started running advertisements on its Prime Video platform.

With partnerships for live WWE RAW events, a high-profile boxing battle between Jake Paul and Mike Tyson, and NFL games on Christmas Day, Netflix—Prime’s main rival—has also made a significant push into live sports.

According to the report, which named eight producers with recent or current projects with Amazon, the company’s entertainment team has been commissioning fewer TV and film projects since a 2022 strategy conference.

The research estimates that Amazon will spend almost $7 billion a year in 2024 on original and licensed films, TV series, and live sports.

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