Local consumers have got their first taste of US giant Amazon's video streaming service in a move lays out the terms for the next phase of Australia's streaming wars.
The Australian Financial Review predicted the move last month and revealed Amazon was plotting an Australian making the service available back in February.
Multiple technology journalists in Australia proved the service was working overnight.
Amazon Prime released The Grand Tour on Friday starring Jeremy Clarkson, Richard Hammond and James May on Friday. The former Top Gear hosts are incredibly popular in Australia and sold out live shows in Sydney and Melbourne last year.
A global announcement yesterday said the show would be available in December in 200 countries and territories. But, this was prior to the discovery that Prime Video had begun streaming in Australia.
Amazon said the company has not launched Amazon Prime in Australia.
"The service some Australians have signed-up for is the US or UK Prime Membership, which provides free, fast shipping within the US or UK, as well as access to some Amazon Originals, such as The Grand Tour, where we have the global rights," an Amazon spokesperson said.
The 'soft launch' was done with zero fanfare or official announcement and was discovered on Thursday night by Gizmodo and EFTM.
The enabling of Australian consumers being able to sign up to Prime Video will no doubt fuel speculation of a 'hard launch' next year.
Amazon enters a challenging market where one big player has already folded. Seven West Media and Foxtel joint-venture Presto announced last month that it would shut down at the end of January.
Foxtel will instead pivot to try and offer a more premium streaming service, Foxtel Play.
The Grand Tour presented a dilemma to Amazon in a streaming market that has evolved quickly in Australia. Amazon was faced waiting for a full launch next year and risk Australians pirating the show, or launch early.
Amazon has tended to launch its Prime Video service in countries where it already has an e-retail presence. But, the release of such a highly anticipated program seems to have forced its hand.
Netflix has a strong foothold in Australia with its popular original series. Local player Stan, which is 50-50 owned by Nine Entertainment and Fairfax Media, holds rights to Amazon Originals Transparent and Mozart in the Jungle, has its own successful original shows and locked up CBS's Showtime content. Foxtel is revamping its streaming offering which will give viewers content, such as HBO and sport, at lower prices that cable TV.
Netflix is spending $US5 billion on original content this year. But, Amazon its expected to spend above $US3 billion on content, original and licensed this year.
It comes as the US e-commerce giant plots a full retail launch in Australia next year.
The Financial Review revealed Amazon has been briefing investors in Australia ahead of a launch of general merchandise and fresh food products.
Australia has been successful hunting ground for international businesses, including Netflix, Spotify, Zara and H&M;, looking to grab a slice of the comparatively well-off market.
