Unlimited access to Prime Video is already free for Prime members, but now Amazon is building a free streaming service for Fire TV owners.
The Fire TV dongles are Apple TV and Chromecast competitors, meaning they offer access to various streaming services in an app-based environment. Instead of acting as a host for third-party apps, Amazon will build its own service, which will be free for current users.
The new service will be separate from Amazon Prime Video, which is free to Prime members and offers popular shows as well as Amazon’s proprietary ones. It is assumed that this move will critically assist Amazon in boosting sales for both its namesake hardware and streaming services, leading to an increase in the market share over competitors such as Google and Apple.
Moreover, such a service will allow Amazon to reach its target to increase ad revenue. Ad space is currently available mainly on its shopping platform; however, Amazon is taking steps to serve ads throughout its full suite of platforms. From Twitch to Alexa, Amazon is putting a lot of effort into bringing more branded messaging to every device. Having just another one provides an additional channel for advertisers to explore.