Amazon Stock Drops, Creating a Standalone Sports Streaming App

Amazon Stock

According to The Information, Amazon stock (NASDAQ:AMZN) is preparing a standalone app for viewing sports as part of a strategy to continue driving funding toward its Prime Video streaming business. According to the article, it’s unclear when or even whether such an app will actually be developed.

But it comes as the business looks at areas that aren’t doing well and cuts jobs in some of them. And Amazon CEO Andy Jassy has highlighted live sports as a sector where spending will continue despite cost cuts.

It would also advocate looking at new ways to capitalize on the huge expenditures made in live sports, such as the multibillion-dollar sports streaming partnerships. Notably, Amazon Prime Video has replaced all other broadcasters of the NFL’s Thursday Night Football in a rumored $1 billion per year deal.

Before, Amazon and broadcasters shared rights, but in the spring of 2021, Amazon was able to get exclusive streaming rights. A year sooner than anticipated, it was able to open its exclusive window in the fall of 2022.

Developments Behind Amazon Stock  

The National Football League is said to have reached new 11-year media rights deals that give the league much more control over digital platforms and make (NASDAQ:AMZN) the only place to watch Thursday Night Football.

Several of the plans have details that are similar to those that have been seen before. The new agreement has been under consideration for more than a year.

Also, it’s a big price jump from 2011, when it cost about $27 billion to buy the same land. For ESPN and ABC, Disney (NYSE:DIS) will pay roughly $2.7 billion annually, Fox (FOX, FOXA) about $2.2 billion, and Viacom/CBS (VIAC, VIACA) about $2.1 billion.

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