The Motley Fool·2025-09-17 10:30Core Insights - The competitive landscape in connected TV (CTV) advertising is rapidly changing, particularly with the partnership between Amazon Ads and Netflix, which allows programmatic access to Netflix's ad-supported inventory through Amazon's demand-side platform (DSP) [2][14] Group 1: Amazon and Netflix Partnership - The partnership will make Netflix's ad-supported inventory available programmatically in major markets, enhancing Amazon's advertising ecosystem [2][14] - Netflix has over 90 million global monthly active users on its ad-supported tier, necessitating scale and targeting tools for effective monetization [5][14] - Amazon's DSP leverages first-party data from its various platforms, allowing advertisers to target Netflix viewers with precision [6][11] Group 2: Implications for The Trade Desk - The Trade Desk, an independent DSP, faces both risks and opportunities due to Amazon's strengthened position with the Netflix deal [3][10] - Amazon's closed-loop ecosystem provides it with unmatched data for audience targeting, potentially rivaling The Trade Desk's platform [11][14] - Advertisers may still prefer The Trade Desk for its neutrality and cross-platform transparency, which could maintain its relevance despite Amazon's dominance [12][15] Group 3: Industry Trends - The partnership signifies a trend where premium streaming inventory is increasingly tied to large ecosystems with first-party data advantages [14] - Amazon's expansion in CTV advertising indicates its ambition to consolidate premium supply, providing advertisers with more options [13][14] - The competitive dynamics in CTV advertising are evolving, raising the stakes for independent players like The Trade Desk [15]