By Rajwa Quasim
Jeff Bezos is spearheading a significant redesign of Amazon Prime Video streaming platform. He has placed AI at the center of its move and plans to expand Amazon’s AI capabilities and strengthen user engagement.
According to the Reuters exclusive report on Thursday, the project is internally called “Lighthouse.” This initiative will transform how 200 million Prime Video users discover and interact with the content.
As per the people with direct knowledge of the matter, the founder and executive chairman Bezos pushed CEO Mike Hopkins to redesign the streaming service so AI can play a central role. The push reportedly started after a tense meeting last fall which led the team to scrap earlier designs and start fresh under the Chief of Design Kam Keshmiri. “Lighthouse” is part of the Amazon’s broader strategy of integrating AI across its products while competing with competitors like OpenAI, Anthropic, and Google.
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The redesign is expected to introduce AI driven recommendations on the basis of viewers’ preferences and more personalized content suggestions based on users’ interests, search behavior and viewing habits. It will also integrate upgraded Alexa voice assistant.
Amazon is already testing new versions with some users, but the final design isn’t set yet. It has previously added AI features to Prime Video such as the multiyear overhaul of its Alexa voice assistant to provide more conversational responses. But it had mixed results and the unit is still losing money, people familiar with the matter have previously told Reuters.
Amazon has committed about $200 billion in capital spending this year, primarily to develop AI with an initial spending of $23 billion in AI companies like Open AI and Anthropic. It also has plans to invest up to $40 billion in the future.
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Reports says that Bezos has taken an unusually hands-on role in overseeing this project. After stepping down as CEO in 2021, he rarely took direct part in day-to-day activities at Amazon. He focused more on other projects at the Washington Post, Blue Origin — a spaceflight firm — and Prometheus, an AI startup.
Prime Video is the fourth most watched service in the U.S., and it became the first streaming service to win an Academy Award in a major category. In 2022, Amazon strengthened its entertainment business by buying MGM (Metro Goldwyn Mayer) for $8.5 billion which also gave access to popular franchises such as James Bond.
According to the data from Nielson, Prime Video accounted for 4.2% of TV viewing in the U.S., behind You Tube (13.4%), Netflix (7.8%), and Disney+ (5%). In 2022, the platform made a major change where users could easily identify which content requires an extra payment, such as Paramount+ subscriptions or movie rentals.