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State of the Screens

Special Delivery? Amazon Looks To Add Live TV To Prime Video Empire

By July 2, 2020November 15th, 2021No Comments

Big news #1: Several job posts by Amazon are fueling rumors that some form of live TV is coming to Prime Video.

Why this matters: Live TV combined with Amazon’s current on-demand service would give consumers more reason to become Prime members.

Quote from Amazon Prime Video job posting via LinkedIn:
“Although video on demand is on the rise, the global viewing hours weighs in favor of live or scheduled TV.”

Big news #2: A recent analysis from Needham estimated that Amazon’s media business is worth $500B or ≈ 4% of its total market capitalization.

Amazon’s media business includes:
Prime Video
2) Prime Music
3) Twitch
4) Advertising

Below is a recent pitch slide from Amazon Advertising:

Amazon advertising revenue (YoY growth) according to eMarketer:
2017 – $3.3B (↑ 186%)
2) 2018 – $7.4B (↑ 123%)
3) 2019P – $11.3B (↑ 53%)
4) 2020P – $15.0B (↑ 33%)
5) 2021P – $19.2B (↑ 28%)

FYI: Fire TV is coming to your car…

More #1: Amazon Just Made a Big Hire From Ad Agency Dentsu to Help It Take a Share of the $70 Billion TV-Advertising Business

More #2: Amazon Prime Video is Beta Testing a Watch Party Feature

More #3: Amazon Prime Video: Everything You Need to Know About the Most Powerful Empire in Video Streaming

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.

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