Formula 1 is currently in talks with US-based internet giant Amazon for a deal which could potentially see the launch of its OTT platform F1 TV on Amazon Prime.
The agreement is seen to potentially help the world’s top motorsport racing series to leverage from bringing in more than 100 million subscribers from the Amazon’s Internet VOD service, according to a report by Digiday. F1 TV was launched by Formula 1 ahead of May’s Spanish Grand Prix this year.
The service would be made available to Prime subscribers in countries where the local broadcaster has given up its exclusive rights under new or renegotiated deals. Formula 1 must negotiate the freedom to launch its OTT service in each media-rights deal it agrees, as broadcasters who agree to the F1 TV launch in their territory lose some exclusivity.
“It makes sense for us to be on there (Amazon Prime) because it’s an open platform and we’re already in discussions with them about distribution in the future,” Formula One’s head of global sponsorship and commercial partnerships, Murray Barnett was quoted as saying by Digiday.
“In the US we have an agreement with ESPN that allows us to exploit our own OTT service separately so we’ll definitely be on Amazon Prime (there).”
“We want to be one of the smarter channels on the Amazon Prime platform. (F1 TV) is part of how we’re building a direct relationship with our fans because that’s always been something that’s run through our promoters or TV partners…. we see F1 TV as an independent revenue stream outside of the relationship with our TV partners,” Barnett added further.
Formula 1 continues to augment its business ties with Amazon. Last week its signed a new deal with its on-demand cloud computing division Amazon Web Services (AWS), which will serve as the official cloud and machine learning provider of F1.