Amazon tops $1.8 billion as-spending dedicated Target for Video-streaming Services

Amazon has surpassed its goal of fascinating $1.8 billion in ad-spending commitments on its video-streaming services for next year, The Information reported on Thursday citing a person with direct knowledge of the company’s ad sales efforts.

Advertisers argue with the large TV and streaming ad commitments for the upcoming 12 months in the upfront ad market, which recently concluded for 2024.

The spending commitments include ads on prime Video and Amazon’s live sports telecasts, such as the national Football league’s Thursday Night Football games, the report said.

The e-commerce giant is betting it can keep its ad revenue growth going by investing in streaming TV and capturing a meaningful share of ad budgets, especially as they increasingly shift towards streaming-video services. 

The company began placing ads on its Prime Video offering for the first time earlier this year. 

In July, Amazon, along with Walt Disney’s ESPN and Comcast-owned NBCUniversal secured the rights to carry National Basketball Association games in an 11-year deal valued at $77 billion. 

The NBA adds to prime Video’s growing list of live sports offerings, which include NFL and NASCAR in 2025. 

In the second quarter, Amazon fell short of expectations for advertising sales, a key metric, reporting $12.8 billion—below the average estimate of $13 billion, as noted by LSEG data. This comes as the company intensifies its competition with Meta Platforms and Alphabet's Google.