Amazon has reported that Q1 revenue grew 43 per cent year-on-year to $51 billion (€42.2bn). The company’s cloud-computing unit Amazon Web Services posted strong gains, registering a 49 per cent in sales over the previous year and generating $1.4 billion in operating income.
The company has also announced that the cost of a Prime subscription – which gives access to its video and music streaming services as well as certain shopping and shipping bonuses – will increase to $119 from $99 per year for US customers. A price hike has yet to be announced for the rest of the world.
Speaking on Amazon’s Q1 earnings call, CFO Brian Olsavsky said that “video content spend will increase year-over-year” as the company seeks to maintain its position as Netflix’ main SVoD rival.