{"id":218203,"date":"2025-05-02T05:15:53","date_gmt":"2025-05-02T05:15:53","guid":{"rendered":"https:\/\/peraltafinancing.com\/advertising\/amazon-made-13-9-billion-on-its-ad-business-in-q1-of-2025\/"},"modified":"2025-05-02T05:15:53","modified_gmt":"2025-05-02T05:15:53","slug":"amazon-made-13-9-billion-on-its-ad-business-in-q1-of-2025","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=218203","title":{"rendered":"Amazon Made $13.9 Billion on Its Ad Business in Q1 of 2025"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<h4 class=\"wp-block-heading\"><strong>The numbers<\/strong><\/h4>\n<p><strong>$13.9 billion<\/strong> \u2014 How much Amazon made on its <a href=\"https:\/\/www.adweek.com\/commerce\/amazons-ad-revenue-was-56-billion-last-year\/\" target=\"_blank\">advertising services<\/a> during Q1 of 2025, up 18% compared to Q1 of 2024.<\/p>\n<p><strong>$155.7 billion<\/strong> \u2014 Amazon\u2019s net sales for Q1 of 2025, a 9% increase from last year.<\/p>\n<p><strong>$18.4 billion<\/strong> \u2014 Amazon\u2019s Q1 operating income, up 20% year-over-year.<\/p>\n<p><strong>$29.3 billion<\/strong> \u2014 Net sales for Amazon Web Services this quarter, up 17% year-over-year.<\/p>\n<p><strong>85%<\/strong> \u2014 The proportion of the global IT market spend that\u2019s still on premises, rather than in the cloud, according to Amazon chief executive officer Andy Jassy. He expects that to flip in the next 10 to 20 years, which could spell huge growth for AWS.<\/p>\n<p><strong>54.6 million<\/strong> \u2014 The number of people that watched Amazon Prime Video\u2019s <a href=\"https:\/\/www.adweek.com\/convergent-tv\/streaming-ratings-week-of-feb-24-prime-videos-reacher-reaches-no-1\/\" target=\"_blank\">Reacher\u2019s season three debut<\/a> in the first 19 days after its release in February.<\/p>\n<p><strong>$159 to 164 billion<\/strong> \u2014 Amazon\u2019s forecasted net sales for Q2.<\/p>\n<div class=\"row justify-content-center\">\n<div class=\"col-12\">\n<section class=\"section section--teaser section--teaser_partners section--teaser_partners--horizontal px-0 py-4\">\n<div class=\"section--teaser_partner\">                         <a class=\"link-reset text-decoration-none\" href=\"https:\/\/www.adweek.com\/convergent-tv\/jen-salke-steps-down-as-head-of-amazon-mgm-studios\/\" target=\"_blank\"><br \/><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/static-www.adweek.com\/wp-content\/uploads\/2025\/03\/jennifer-salke-amazon-studios-2025.jpg?w=652&amp;h=367&amp;crop=1\" alt=\"\" class=\"image image--partner\"\/><br \/><\/a>                     <\/div>\n<\/section>\n<\/div><\/div>\n<h4 class=\"wp-block-heading\"><strong>The watercooler talk<\/strong><\/h4>\n<p>Amazon\u2019s advertising business continues to outpace its overall growth. <a href=\"https:\/\/www.adweek.com\/commerce\/amazons-ai-generator-tool-can-now-create-audio-ads\/\" target=\"_blank\">Ad services<\/a> grew 18% year-over-year. Net sales meanwhile had a growth rate of half that.<\/p>\n<p>Customer experience is going to be reinvented by <a href=\"https:\/\/www.adweek.com\/media\/5-ai-trends-2025\/\" target=\"_blank\">agentic AI<\/a>, Jassy said, and because so many of the startups innovating around AI agents are using AWS, that\u2019s going to continue to lead to more growth for that portion of the business.<\/p>\n<p>Uncertainty around <a href=\"https:\/\/www.adweek.com\/agencies\/advertisers-hold-steady-amid-tariff-uncertainty-for-now\/\" target=\"_blank\">tariffs<\/a>, and how those tariffs will impact consumer demand throughout the year, loomed over the call.<\/p>\n<p>\u201cIt\u2019s hard to tell what\u2019s going to happen with tariffs right now,\u201d Jassy said. \u201cIt\u2019s hard to tell where they\u2019re going to settle and when they\u2019re going to settle.\u201d<\/p>\n<p>Still, Jassy also noted that average prices haven\u2019t \u201cappreciably\u201d increased yet, largely because sellers haven\u2019t changed prices so far. That\u2019ll likely change, but it\u2019s unclear exactly what the impact will be, he said.<\/p>\n<h4 class=\"wp-block-heading\">The<strong> key quote<\/strong><\/h4>\n<p><!--nextpage--><\/p>\n<p>Alexa+, the version of Amazon\u2019s AI agent Alexa that launched in February, is \u201cmuch more intelligent, much more capable and able to take real action,\u201d Jassy said. So far, there are more than 100,000 people using Alexa+.<\/p>\n<p>\u201cWe have over a half billion devices out there in people\u2019s homes and offices and cars, so we have a lot of distribution already,\u201d Jassy said. But there\u2019ll be a learning curve for people as they get used to her increased capabilities and start to use the tech as a personal assistant, he explained. <\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>The numbers $13.9 billion \u2014 How much Amazon made on its advertising services during Q1 of 2025, up 18% compared to Q1 of 2024. $155.7 billion \u2014 Amazon\u2019s net sales for Q1 of 2025, a 9% increase from last year. $18.4 billion \u2014 Amazon\u2019s Q1 operating income, up 20% year-over-year. $29.3 billion \u2014 Net sales [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":218204,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12023],"tags":[2100,76024,11043,907,42082,67164,67694],"dealstore":[],"offerexpiration":[],"class_list":["post-218203","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-advertising","tag-amazon","tag-amazon-news","tag-billion","tag-business","tag-earnings-reports","tag-retail-media-networks","tag-retail-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - 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