Amazon Prime stands as a shining beacon of success in a sea of questionable bets that are seeing other Amazon business divisions being shuttered. The company has already plans to discontinue three of its businesses in India (its wholesale distribution channel, food delivery service and ed-tech venture) to thrive amid the ongoing economic slowdown.
Streaming video-on-demand is so incredibly popular these days, making it a hotly contested space. As of 2021, Amazon Prime Video was the second most searched video streaming service worldwide, after Netflix, and poised in second position in the growing subscription video-on-demand industry. Even as new competitors have come to the fore, the number of Prime Video subscriptions is projected to rise, especially in India where it is bundled with Amazon’s Prime subscription.
Prime Video is a critical funnel for Prime subscriptions, and making it a standalone business could unlock shareholder value and bring greater focus to expand not just its content library, but also give its focus on sports rights and IP licensing a fillip.