Amazon Prime Video slows operations in Africa

With the global consumption of African films increasing, the news of Amazon Prime reducing its footprint and cutting funding to the continent (and the Middle East) in favour of European markets comes as a surprise to stakeholders in the filmmaking fraternity, and beyond.

The news comes not long after Amazon Prime Video, a paid subscription service, signed licensing agreements with production companies to bolster its investment in Africa, with the setup of operations in Nigeria and South Africa.

An official press statement has not yet been released by Amazon Prime Video, but numerous news outlets have been reporting on the news since last week.

Sources state that the decision was based on internal feedback, after various high-level discussions that have been ongoing for the past 12 months. There, of course, has to be a business case for such a decision, and many sources speculate that it could potentially be a result of Amazon Prime prioritising profitable operations and focusing on target markets.

The immediate effects of this include cuts in the employment sector, mostly affecting workforces in Nigeria and South Africa. On a positive note, the already commissioned content will go ahead as planned.

To emphasise, as we understand it, this does not mean a removal of Amazon Prime's presence in dominant African markets, but it would simply cut off the production of original content and reduce its operational footprint.

What does it mean for Uganda and Ugandan filmmakers?

For many filmmakers and producers, the daily grind continues, as its effects will not be felt as deeply as in the other aforementioned markets, as Prime's influence is yet to be garnered in Uganda.

In an interview with Kennedy Kihire of Kihiray Pictures, who recently had his film, Tsu’pa, acquired on Amazon Prime Video, stated that “it’s business as usual for us."

"From what I have understood from this move, it does not mean Amazon will stop acquiring films from Africa - it’s just the production of original films,” he said.

We wait to see how this will affect Africa's burgeoning streaming industry, which, according to sources, is expected to reach at least a staggering 18 million paying subscribers by 2029.