Amazon is Reportedly Working On a New Free Streaming Service & Wants Millions From Advertisers




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Amazon is reportedly working on a large ad-supported free streaming service to take on Roku. According to Cheddar Amazon wants advertisers to pay millions for rights to advertise on the new service. Amazon request for millions from advertisers has raised the eyebrows of some.

According to recent reports, Amazon is working on a free ad-supported news service. Amazon is also reportedly working on expanding it other free ad-supported streaming services. This comes a few months after Amazon launched IMDb Freedrive an ad-supported streaming services offering access to movies and TV shows. According to reports though Amazon is not disclosing exactly what the new ad-supported streaming services will look like or what content it will offer. Is it a 3rd new ad-supported service or a combination of the two we already know about? This question has left many advertisers wondering if they should spend the millions Amazon wants from them.

According to reports Amazon wants to compete head to head with Roku’s large library of free ad-supported services. These ad-supported services now account for over half of Roku’s revenue. Amazon reportedly wants in on what is becoming a growing market of free streaming services relying on ads that so far has been dominated by Roku.

In 2018 it is reported that TV advertisers spent $69.9 billion on TV ads. Only $7 billion was spent on digital ads in the first half of 2018 but slowly the amount spent on digital ads has been growing. As more Americans stream content online Amazon, Roku, and more see free ad-supported services as an area for growth.

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