However, Amazon already has a free, ad-supported streaming service called Freevee, which provides a vast library of TV shows and films. With Freevee already available in the US, UK, and Germany, Amazon would need to carefully evaluate the need for an ad-supported tier in these regions. Introducing such a tier could potentially discourage Freevee subscribers from joining Prime Video when they can access a significant portion of Prime Video’s content for free. Furthermore, if Amazon were to shut down Freevee to encourage subscribers to switch to Prime Video, it could risk upsetting existing users and dissuading them from creating a Prime Video account.
While Amazon’s interest in an ad-supported tier is understandable from a business perspective, the existence of Freevee raises questions about the necessity of such a subscription model. Rather than forcefully pushing Freevee subscribers to switch, allowing them to independently explore Prime Video content and make their own decision to upgrade might prove more effective. By maintaining Freevee as a free alternative, Amazon can retain its user base and potentially convert them to Prime Video subscribers at their own discretion.