Amazon this week reported promoting companies income of $21.3 billion for the fourth quarter of 2025, representing 23% development in comparison with the identical interval in 2024, in response to monetary outcomes introduced February 6, 2026. This acceleration marks the promoting section’s strongest quarterly efficiency of the 12 months and positions the enterprise as a essential profitability driver throughout Amazon’s North America and worldwide operations.

Amazon’s promoting enterprise achieved $68.6 billion in full-year 2025 income, demonstrating sustained momentum that started with Q1’s 19% development. The corporate maintained constant growth all year long, with Q2 reaching 22% development and Q3 matching that tempo earlier than accelerating to 23% within the closing quarter. The promoting section now operates at a $69 billion annual run price, greater than double the $29 billion generated simply 4 years in the past.

CEO Andy Jassy emphasised Prime Video’s increasing function through the February 5 earnings name. The streaming platform maintained a mean ad-supported viewers of 315 million viewers globally, up from 200 million disclosed in April 2024. Prime Video promoting grew to become obtainable in 16 international locations throughout 2025, together with america, United Kingdom, Germany, France, Japan, and 9 different markets. The streaming service launched adverts on all programming in January 2024, providing subscribers the choice to skip commercials by way of a premium tier improve.

CFO Brian Olsavsky highlighted that promoting contributed greater than $12 billion of incremental income for Amazon throughout 2025. Working earnings for the fourth quarter reached $25 billion, although this determine included $2.4 billion in particular fees associated to tax dispute resolutions in Italy and lawsuit settlements. The promoting section contributed to North America’s working earnings of $11.5 billion for the quarter, representing a 24% enhance in comparison with This autumn 2024.

Amazon’s fourth-quarter promoting efficiency benefited from Thursday Night Football’s record viewership. The weekly NFL broadcast averaged greater than 15 million viewers on Prime Video, marking 16% development year-over-year and the third consecutive 12 months of double-digit viewers growth. The platform hosted the most-streamed NFL sport in historical past when the Packers-Bears wild card playoff sport drew greater than 31.6 million viewers on January 10, 2026.

The corporate’s demand-side platform capabilities expanded considerably all through 2025. Amazon DSP added in-market audiences throughout 32 international locations in November, together with Belgium, Egypt, South Africa, and Poland. The platform integrated Netflix’s ad-supported tier in This autumn 2025, offering advertisers with direct entry to premium streaming content material throughout 11 international locations. Spotify’s global audio and video inventory grew to become obtainable by way of Amazon DSP in October, delivering programmatic entry to 696 million month-to-month ad-supported listeners throughout 9 markets.

Amazon consolidated its advertising platforms in November by way of the introduction of unified Marketing campaign Supervisor. The combination merged the Amazon DSP and Advertisements Console right into a single shopping for software, eliminating the fragmented workflow that beforehand required advertisers to handle sponsored adverts and programmatic campaigns by way of separate interfaces. Kelly MacLean, vp of Amazon Advertisements, acknowledged that advertisers can now handle campaigns throughout the funnel by way of one world entry level.

The platform launched AI-powered automation features throughout This autumn. Advertisements Agent processes pure language directions to execute complicated promoting workflows, permitting advertisers to add media plans and allow automated marketing campaign construction creation. The system opinions hundreds of viewers segments to suggest concentrating on choices for Amazon DSP campaigns whereas constructing SQL queries for analytics with out requiring coding experience.

Prime Video expanded its measurement capabilities in November when Amazon Advertising Cloud built-in viewership alerts from the streaming platform. The dataset supplies three major information varieties – content material title data, content material kind classification, and show-level engagement metrics. Advertisers can study content material preferences amongst their buyer base whereas analyzing overlap between buyer segments and Prime Video viewers inside AMC’s privacy-safe clear room setting.

The promoting enterprise demonstrated scale benefits throughout Amazon’s retail infrastructure. Greater than 300 million prospects used Rufus, Amazon’s AI-powered purchasing assistant, throughout 2025. Jassy famous that prospects utilizing Rufus full purchases at 60% increased charges in comparison with these not utilizing the function. Visible search by way of the Lens software skilled 45% utilization development year-over-year, enabling prospects to seek out merchandise by way of image-based queries.

Amazon’s promoting know-how infrastructure benefited from sustained funding all through 2025. The corporate’s know-how and infrastructure prices reached $92.4 billion for the total 12 months, reflecting ongoing growth in synthetic intelligence and machine studying capabilities. These investments enabled options like Creative Agent, which generates professional-quality video belongings by way of conversational interfaces and expanded to assist Streaming TV and Sponsored TV promoting codecs in November.

Location-based interactive ads launched for Prime Video in October 2025. The function allows advertisers to rework nationwide tv commercials into hundreds of location-specific variants with out creating a number of artistic belongings. Advertisers can customise messaging with native pricing, dealership data, or agent particulars whereas adjusting clickthrough URLs primarily based on viewer location at each zip code and state ranges by way of the Amazon DSP Video template.

The promoting section’s development trajectory positioned Amazon because the third-largest digital promoting platform globally, trailing Meta and Alphabet. Amazon’s 22% growth rate in Q3 2025 compared favorably with Meta’s promoting income growth throughout the identical interval. The corporate’s place on the intersection of e-commerce and promoting supplies distinct benefits in attribution and return on advert spend measurement, enabling direct connections between advert impressions and purchases inside its ecosystem.

Sponsored Merchandise remained the biggest contributor to promoting income throughout This autumn, representing the core of Amazon’s retail media enterprise. The format launched interactive video capabilities in November, enabling advertisers to add one to 5 product function movies per product. Customers viewing search outcomes can entry as much as three video thumbnails exhibiting related options with out leaving the outcomes web page.

Prime Video Channel Insights accomplished its open beta part in November, changing into obtainable to all eligible Amazon Advertising Cloud advertisers who function as Prime Video Channel companions. The dataset supplies enrollment and streaming analytics that allow viewers evaluation, marketing campaign measurement, and media activation throughout Amazon’s promoting platforms. Channel companions can construct customized viewers segments primarily based on viewing conduct, then activate these audiences throughout Amazon DSP for show and video campaigns.

Third-party validation of Amazon’s measurement capabilities expanded throughout This autumn. Integral Ad Science earned Media Rating Council accreditation for server-to-server integration of Amazon DSP impression, viewability, and invalid visitors information. The certification validates impartial third-party verification for advertisers working programmatic campaigns by way of Amazon’s demand-side platform throughout each show and video commercials.

Amazon’s subscription companies section, which incorporates Prime memberships and digital content material subscriptions, generated $13.1 billion in This autumn 2025, representing 14% development. The Prime membership supplies the inspiration for promoting growth by delivering a loyal subscriber base that accesses streaming content material, on-line purchasing, and quick supply companies inside a single ecosystem. The combination allows Amazon to leverage commerce information for promoting concentrating on whereas measuring downstream buy conduct.

The promoting enterprise operates inside Amazon’s broader know-how infrastructure. AWS section income reached $35.6 billion for This autumn, rising 24% year-over-year and representing the quickest development in 13 quarters. The cloud computing division supplies the technical basis for promoting information processing, marketing campaign optimization algorithms, and measurement capabilities that differentiate Amazon’s choices from opponents missing equal computing infrastructure.

Amazon introduced reserve share of voice for branded search in October 2025. The function permits advertisers to safe top-of-search placements for branded key phrases at fastened, upfront costs by way of totally self-service platforms accessible by way of the Promoting Console and API. The reservation system allows manufacturers to make sure their commercials seem within the top-of-search place for branded queries, offering safety towards competitor conquesting and predictable price range planning.

The corporate’s worldwide promoting growth accelerated throughout This autumn. The Worldwide section generated $50.7 billion in internet gross sales, rising 17% year-over-year and 11% when excluding international trade impacts. Working earnings for the Worldwide section reached $1.0 billion for the quarter, although this represented a 21% decline in comparison with the prior 12 months interval as a consequence of investments in fast commerce initiatives and pricing methods.

Amazon’s promoting measurement infrastructure expanded by way of a number of partnerships throughout 2025. Microsoft Monetize joined Amazon’s Licensed Provide Trade program in October as a most well-liked supply-side platform. The partnership supplies Amazon DSP advertisers with entry to Microsoft’s open web stock whereas Microsoft Monetize publishers achieve further demand entry by way of Amazon DSP advertisers. The technical integration allows deal packages that embody Amazon Shopper Insights integration.

Content material funding supported promoting stock growth all through 2025. Amazon’s whole content material spending reached $22.4 billion for the 12 months, representing 10% development in comparison with 2024. The funding spans licensing and manufacturing prices related to Prime Video and Amazon Music programming. The capitalized prices of video and music content material totaled $36.5 billion as of December 31, 2025, with a weighted common remaining life of three.2 years for capitalized video content material.

Prime Video introduced AI-powered video recaps in November, producing personalised summaries synchronized with particular person viewing historical past. The know-how demonstrates Amazon’s video evaluation and modifying capabilities that inform each content material creation and promoting artistic growth workflows. The system operates solely on Prime Video programming, processing video content material to extract significant narrative parts and synthesize new video merchandise routinely.

The promoting platform’s technical capabilities embody goal-based bidding, Efficiency+ optimization utilizing machine studying, and modeled attribution for off-Amazon conversions. These options function throughout show, video, and linked tv codecs. Amazon DSP holds Media Score Council accreditation for show begin-to-render impressions and click-through reporting, making use of to third-party trade transactions throughout desktop, cell internet, and cell in-app environments, plus Hearth TV inside linked tv environments.

Amazon’s promoting development occurred amid important organizational modifications. The corporate introduced 16,000 worker layoffs in January 2026, citing the necessity for lowering layers, rising possession, and eradicating paperwork. These reductions adopted 14,000 worker cuts in October 2025, representing roughly 10% of Amazon’s earlier company headcount. The restructuring efforts aimed to streamline operations whereas sustaining funding in development areas together with promoting, AI infrastructure, and low Earth orbit satellites.

The corporate’s ahead steering for Q1 2026 tasks internet gross sales between $173.5 billion and $178.5 billion, representing development between 11% and 15% in comparison with first quarter 2025. Working earnings steering ranges from $16.5 billion to $21.5 billion. The projections embody roughly $1 billion in increased year-over-year prices associated to Amazon Leo satellite tv for pc operations, reflecting elevated spending on satellite tv for pc launches through the quarter.

Amazon introduced capital expenditure plans of $200 billion for 2026, representing roughly 50% development in comparison with $131.8 billion spent in 2025. The funding will predominantly assist AWS infrastructure to satisfy surging demand for synthetic intelligence companies, whereas additionally funding promoting know-how growth, robotics initiatives, and low Earth orbit satellite tv for pc deployment. The substantial enhance in capital spending displays Amazon’s strategic positioning throughout a number of high-growth know-how sectors.

The promoting enterprise’s profitability contribution prolonged past direct income technology. The section enhanced total market economics by offering sellers and distributors with instruments to extend product visibility, driving incremental gross sales that generate further charges from third-party vendor companies and success operations. The built-in mannequin creates compound worth throughout Amazon’s enterprise models, distinguishing its promoting providing from platforms missing equal e-commerce infrastructure.

Third-party vendor companies generated $52.8 billion in This autumn, rising 11% year-over-year. This section contains commissions and associated success charges from market transactions, lots of which originate from sponsored product commercials. The connection between promoting and vendor companies demonstrates how Amazon’s promoting enterprise operates as a part of a broader ecosystem slightly than as an remoted income stream.

On-line shops internet gross sales reached $83.0 billion for the quarter, rising 10% in comparison with This autumn 2024. The retail channel contains product gross sales and digital media content material the place Amazon data income gross, spanning consumable and sturdy items together with media merchandise obtainable in bodily and digital codecs. Sponsored product commercials drive substantial visitors to product element pages throughout the on-line shops channel, creating direct attribution between promoting spend and buy conduct.

Amazon’s working money circulation for full-year 2025 totaled $139.5 billion, up 20% in comparison with 2024. The robust money technology allows continued funding in promoting infrastructure whereas funding AWS growth and content material acquisitions that assist Prime Video stock. Free money circulation, calculated as money circulation from operations diminished by capital expenditures, reached $11.2 billion on a trailing twelve-month foundation.

The promoting platform’s aggressive positioning benefited from Amazon’s distinctive information belongings. The corporate accesses purchasing conduct throughout a whole bunch of tens of millions of shoppers, streaming viewership patterns from Prime Video subscribers, and search question information from market interactions. These first-party alerts allow concentrating on capabilities unavailable to platforms missing built-in e-commerce operations, creating differentiation that helps premium pricing and sustained development.

Amazon Internet Providers contributed technical infrastructure supporting promoting operations. The cloud computing division supplies information processing capabilities for viewers segmentation, marketing campaign optimization algorithms working on machine studying fashions, and measurement attribution methods analyzing billions of buyer interactions. These technical capabilities function at scale unavailable to smaller promoting platforms, creating limitations to entry that shield Amazon’s market place.

The promoting section’s worldwide growth accelerated throughout 2025 as Prime Video launched promoting in a number of new markets. The worldwide footprint now spans North America, Europe, Asia Pacific, and Latin America areas. Worldwide promoting income stays smaller than North America however demonstrated stronger development charges throughout This autumn, reflecting earlier stage market growth and decrease aggressive depth in sure geographies.

Amazon’s promoting measurement advanced all through 2025 to deal with marketer calls for for accountability. The corporate launched conversion path reporting exhibiting 30-day buyer journeys throughout sponsored adverts and DSP codecs, enabling advertisers to know how a number of touchpoints contribute to buy choices. These attribution capabilities function inside Amazon Advertising Cloud’s clear room setting, sustaining privateness protections whereas delivering granular efficiency insights.

Retail media networks operated by competing retailers integrated Amazon’s advertising technology throughout 2025. Macy’s Media Community adopted Amazon Retail Advert Service in early November, representing the primary main division retailer to implement Amazon’s platform since its January 2025 launch at CES. The know-how service allows retailers to implement sponsored product commercials on their web sites whereas sustaining management over advert placements, artistic codecs, and frequency.

The promoting platform’s technical growth continued by way of This autumn with enhanced content exclusion categoriesintroduced in December. The function allows advertisers to handle model suitability settings throughout Twitch and third-party internet and cell stock by way of unified controls. Content material exclusion classes operate as binary switches that stop commercials from showing alongside particular content material subjects conflicting with model values.

Amazon’s place in linked tv promoting strengthened throughout This autumn as business spending shifted towards streaming platforms. Linked TV’s share of media budgets doubled from 14% in 2023 to twenty-eight% in 2025, in response to business projections cited in earlier earnings disclosures. Prime Video added a free news hub in December, aggregating content material from ABC Information Reside, CBS Information 24/7, LiveNOW from Fox, CNN Headlines, and NBC Information NOW amongst a whole bunch of channels. The information vacation spot creates further premium stock throughout various content material classes.

The promoting enterprise operates inside regulatory frameworks governing digital platforms. Amazon faces scrutiny from competitors authorities relating to market practices and promoting disclosures, although no important regulatory actions materialized throughout This autumn 2025. The Federal Commerce Fee maintains ongoing investigations into varied points of Amazon’s enterprise operations, together with promoting practices and market competitors dynamics.

Amazon’s promoting development trajectory positions the section as a cornerstone of the corporate’s long-term technique. The enterprise advantages from community results the place elevated advertiser participation improves concentrating on effectiveness, which attracts further advertisers whereas enhancing worth for present prospects. These dynamics create self-reinforcing development that helps continued market share positive aspects towards established opponents.

Timeline

Abstract

Who: Amazon introduced fourth quarter 2025 monetary outcomes, with CEO Andy Jassy and CFO Brian Olsavsky presenting earnings to traders and analysts. The announcement impacts advertisers utilizing Amazon’s platforms, companies managing campaigns, market sellers counting on sponsored merchandise, and streaming advertisers accessing Prime Video stock.

What: Promoting companies income reached $21.3 billion in This autumn 2025, rising 23% year-over-year and marking acceleration from earlier quarters. Full-year 2025 promoting income totaled $68.6 billion. Prime Video maintained a mean ad-supported viewers of 315 million viewers globally throughout 16 international locations, up from 200 million in April 2024. Amazon consolidated its promoting platforms by way of unified Marketing campaign Supervisor, launched AI-powered automation options, and expanded demand-side platform capabilities throughout streaming stock together with Netflix and Spotify integrations.

When: Amazon launched fourth quarter 2025 monetary outcomes on February 6, 2026, protecting the interval ending December 31, 2025. The outcomes embody the essential vacation purchasing quarter and replicate promoting platform developments all through the total 12 months 2025.

The place: The promoting income spans Amazon’s world operations, with major focus in North America markets. Prime Video promoting operates in 16 international locations together with america, United Kingdom, Germany, France, Japan, Canada, Australia, Brazil, India, Italy, Mexico, Netherlands, Spain, Sweden, Austria, and New Zealand. Amazon DSP supplies programmatic entry throughout 32 international locations following November 2025 growth.

Why: The outcomes display Amazon’s sustained momentum in digital promoting as the corporate leverages built-in e-commerce infrastructure, increasing streaming viewership, and technical capabilities throughout demand-side platform operations. Promoting contributes considerably to North America and Worldwide section profitability whereas benefiting from Amazon’s distinctive place connecting purchasing conduct information with premium video stock. The 23% development price in This autumn positions promoting as a essential driver of Amazon’s monetary efficiency amid substantial capital investments in AI infrastructure and satellite tv for pc know-how.


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