Forward of its advert tier launch, layoffs are coming to Prime Video.
High line
As we speak, Mike Hopkins, svp at Prime Video and Amazon’s MGM Studios, introduced in a memo despatched to workers that the corporate would minimize a number of hundred jobs, Adweek has confirmed.
Between the traces
Within the memo, which Amazon shared with Adweek, Hopkins famous that the corporate had recognized alternatives to cut back or discontinue investments in sure areas whereas growing investments within the areas that present probably the most influence, resulting in the corporate “eliminating a number of hundred roles throughout the Prime Video and Amazon MGM Studios group.”
“It is a tough choice to make and one which my management staff and I don’t take evenly,” Hopkins wrote. “It’s arduous to say goodbye to gifted Amazonians who’ve made significant contributions on behalf of our prospects, staff and enterprise. Thanks in your dedication and work.”
Hopkins added that the corporate will prioritize initiatives that “transfer the needle,” together with continued investments in programming, advertising and marketing and merchandise that place the enterprise for an “even stronger future.”
To this point, the distribution of the cuts throughout Prime Video and MGM Studios is unclear.
Along with the cuts hitting Amazon’s video division, Bloomberg not too long ago reported Twitch was shedding 500 workers, or about 35% of its employees.
Backside line
The layoffs are simply the most recent instance of consolidation within the streaming and TV trade and are available simply weeks forward of Prime Video launching its advert tier, which rolls out on Jan. 29 to all Prime Video subscribers.
Specialists not too long ago advised Adweek there’d possible be extra TV consolidation within the 12 months forward as streamers look to maximise profitability and ship new choices to price-pinched customers.