Amazon is Losing Millions on Prime Video, But It Doesn’t Care


By

on

in


Amazon Prime is one of the better deals out there. When you look at it, for just $99 a year you get free 2-day shipping, music, ebooks, photo storage, TV shows, and movies. You even get access to exclusive discounts and Amazon original shows and movies.

However, this all costs money, and according to The Motley Fool, Amazon lost about $700 million on Amazon Prime Video in 2016.

But Amazon does not care that it is losing money. Amazon has made it clear that it sees Amazon Video as a way to get more people to use and buy stuff on Amazon. The additional features, such as music, books, photo storage, and, of course, the TV shows and movies, are all ways to get people to pick Amazon over other sites and stores.

This effort to attract new subscribers and shoppers seems to be paying off as Amazon is reported to have at least 66 million Amazon Prime members. That is 66 million people paying for Prime and likely making Amazon their first place to shop.

So next time you look at Amazon Prime Video remember you really are getting more than you pay for. Amazon is just hoping you also will buy some stuff, like a Fire TV, as you use the service.

Please follow us on Facebook and Twitter for more news, tips, and reviews.

Need cord cutting tech support? Join our new Cord Cutting Tech Support Facebook Group for help. 

Disclaimer: To address the growing use of ad blockers we now use affiliate links to sites like http://Amazon.com, streaming services, and others. Affiliate links help sites like Cord Cutters News, stay open. Affiliate links cost you nothing but help me support my family. We do not allow paid reviews on this site. As an Amazon Associate I earn from qualifying purchases.

Subscribe to Our Newsletter

* indicates required

Please select all the ways you would like to hear from :

You can unsubscribe at any time by clicking the link in the footer of our emails. For information about our privacy practices, please visit our website.

We use Mailchimp as our marketing platform. By clicking below to subscribe, you acknowledge that your information will be transferred to Mailchimp for processing. Learn more about Mailchimp’s privacy practices here.