Amazon’s investment in Hollywood is beginning to deliver significant financial returns. According to CEO Andy Jassy, Prime Video is now a profitable business generating revenue at an annual rate of tens of billions of dollars.
Speaking during Amazon’s latest quarterly earnings call, Jassy highlighted the streaming platform’s growing financial performance, pointing to successful movies, popular television series, and live sports coverage as major contributors.
The announcement comes four years after Amazon completed its $8.5 billion acquisition of MGM Studios, a deal that gave the company a much stronger position in the entertainment industry.
Prime Video Is Generating Billions in Revenue
Amazon had previously confirmed that Prime Video was profitable, but Jassy’s latest comments provide a clearer picture of the streaming service’s financial scale.
The CEO described Prime Video as an increasingly important part of Amazon’s business, with an annual revenue run rate reaching tens of billions of dollars.
That growth reflects Amazon’s strategy of combining entertainment with its wider Prime subscription ecosystem.
Rather than competing with traditional streaming platforms solely through subscription fees, Amazon can also generate revenue through advertising, sports broadcasting, and other entertainment-related services.
Project Hail Mary Delivers a Major Box Office Success
Amazon MGM Studios has also enjoyed a strong year at the global box office.
According to the company, its movie studio has generated more than $1.2 billion in worldwide theatrical sales so far this year.
One of the biggest contributors has been Project Hail Mary, starring Ryan Gosling and based on the bestselling science-fiction novel by Andy Weir.
The movie reportedly generated approximately $684 million worldwide, making it Amazon MGM Studios’ highest-grossing theatrical release.
Another successful title mentioned by Amazon was Verity, which also contributed to the studio’s performance.
Not every release has been successful, however. Amazon has experienced disappointing theatrical results with some projects, demonstrating that producing commercially successful movies remains an unpredictable business.
Popular TV Shows Keep Viewers Coming Back
Prime Video’s television lineup is another important part of its growth.
Jassy highlighted several successful productions, including:
- The Boys
- Fallout
- Reacher
- The Summer I Turned Pretty
- Carrie
- Off Campus
Among these titles, Reacher continues to be a particularly strong performer.
Amazon reported that the show’s fourth season attracted approximately 66 million viewers worldwide during its first 28 days.
The company is already looking ahead, with production underway on Season 5 and the series renewed for a sixth season.
The success of these productions helps Amazon maintain viewer engagement and gives subscribers more reasons to remain on the platform.
Live Sports Are Becoming a Major Attraction
Sports broadcasting is another area where Amazon is investing heavily.
Prime Video now offers coverage of several major sporting events, including NASCAR, the Masters, and UEFA Champions League football.
However, Thursday Night Football has emerged as one of its biggest attractions.
According to Nielsen figures shared by Amazon, the first six games of the current season averaged 17.7 million viewers per game, representing a 16% increase compared with the previous year.
Basketball is also contributing to the platform’s growing audience. Prime Video’s second season of NBA coverage attracted more than 2 million viewers, according to Nielsen.
Live sports provide streaming services with something particularly valuable: regular viewing habits and audiences that return for scheduled events.
Amazon’s Hollywood Investment Is Paying Off
Amazon’s entertainment strategy has evolved considerably since its acquisition of MGM.
The company is no longer treating movies and television simply as additional benefits for Prime subscribers. Instead, entertainment has developed into a substantial business with its own revenue opportunities.
Successful theatrical releases, popular original series, advertising, and exclusive sports coverage are helping Prime Video strengthen its position in the competitive streaming market.
Jassy’s latest comments suggest that Amazon believes this business still has considerable room to grow.
With major entertainment franchises, expanding sports coverage, and a profitable streaming operation, Prime Video is becoming one of Amazon’s increasingly important sources of revenue beyond its traditional e-commerce business.
