Amazon is working on an ad-supported video service that would be available to users of its Fire TV devices, The Information reports. According to people familiar with the matter, the service will tentatively be called Free Dive and is being developed by the company’s IMDB subsidiary. It will likely feature older TV shows and Amazon is reportedly in licensing talks with major studios.
Rumors of such a service surfaced last year and Amazon stopped short of denying the project, saying at the time that it had “no plans to create a free, ad-supported version of Prime Video.” According to the details provided by The Information’s sources, Free Dive definitely wouldn’t be a free version of Prime. It would be a separate service entirely and likely with different content. The service would let Amazon compete with similar offerings from Roku and Vudu while giving the company an additional outlet through which to generate ad revenue.