Amazon CEO Takes Hard Look at Costs of TV Offerings

Amazon has shifted its video strategy from leveraging its book business to investing heavily in original content, aiming to create high-budget shows like 'The Lord of the Rings' spin-off. However, this has led to increased costs, prompting CEO Andy Jassy to review spending and strategy. The goal is to manage costs while maintaining subscriber retention through Amazon Prime, which is crucial for the company's broader business model.

What is the current situation regarding Amazon's spending on entertainment?

What is the underlying motive behind Amazon's video business strategy?