Amazon working on AI tools to generate videos, images for advertisers

Amazon advertisers may soon gain the ability to create AI-generated image and video assets to use in ad campaigns.

The company has confirmed it is now building a team to provide those tools, The Information reported. There is no estimated timeline for when this will become available.

Why we care. The ability to natively create image and video assets could help Amazon advertisers improve their listings, leading to more sales and greater ROI on the platform.

Amazon is diversifying its growing ad business. Amazon advertising accounted for $38 billion in revenue in 2022. Its biggest offering is letting merchants get greater visibility in search results. Amazon’s other advertising efforts include:

• Videos ads on Freevee, its video-streaming service, and Thursday Night Football on Prime Video.
• Audio ads on Amazon Music.
• Digital ads inside Amazon Fresh grocery stores.

Joining the AI arms race. Elsewhere, Google plans to bring generative AI to Google Ads and has already been testing a way to create RSAs using AI. And Microsoft continues testing ads in the New Bing.

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