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Report: Amazon puts price pressure on video channel partners

Oct. 26, 2018 5:43 PM ETAmazon.com, Inc. (AMZN) StockLGF.A, AMZN, T, AMCX, EMWPF, LGF.B, PARABy: Jason Aycock, SA News Editor40 Comments
  • Amazon.com (NASDAQ:AMZN) is looking to boost its cut on subscription video services it offers via Prime Video by as much as 10 to 20 percentage points, according to The Information.
  • Carriage fights between pay TV distributors and content creators have been common, as have blackouts when those fights escalate. Now the pricing pressure from Amazon looks to replicate some of those battles in the streaming world.
  • An increase would raise Amazon's share to 50% in some cases, and The Information notes that's thought to be the reason Amazon has stopped letting people sign up for a pair of services owned by AMC networks (NASDAQ:AMCX): Shudder and Sundance Now. Amazon also could offer bundles of the other companies' services at a discount.
  • Prime video channels offered currently include Showtime and CBS All Access (NYSE:CBS), Starz (LGF.A, LGF.B), Cinemax and HBO (NYSE:T), ErosNow (NYSE:EROS) and others.

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